Source Fact: Financial Supervisory Service Electronic Disclosure System (DART) / 2026-03-13
Disclosure Type: Decision on Issuance of Convertible Bonds
💡 3-Second Summary
Jeju Semiconductor has officially resolved to issue a 45 billion KRW private Convertible Bond (CB) targeted at Mirae Asset Securities (including its IMA account). The captured cash is 100% allocated under “Working Capital,” with 30 billion KRW dedicated to strategic wafer procurement and 15 billion KRW aimed at next-gen software/hardware R&D, working in tandem with today’s BW filing to complete a massive capital expansion.
📊 1. [Key Disclosure Content & Major Figures Summary]
- Type of Security: 9th Unregistered, Non-Guaranteed, Private Placement Convertible Bond (CB)
- Aggregate Total Amount: 45,000,000,000 KRW (45 Billion KRW)
- Purpose of Financing: Working Capital of 45 Billion KRW
- Raw material (Wafer, etc.) procurement: 30 Billion KRW (10B annually from 2026 through post-2028)
- Research & Development (R&D) investments: 15 Billion KRW (5B annually from 2026 through post-2028)
- Bond Terms: Coupon Rate 0.0%, Maturity Yield 2.0%, Maturity Date March 23, 2031 (Redemption at 110.4081% of principal at maturity).
- Conversion Specifications:
- Initial Conversion Price: 44,300 KRW per share (Identical to the simultaneous BW issuance terms).
- Number of Shares to be Issued: 1,015,801 shares (Representing 2.86% of total outstanding shares).
- Conversion Period: March 23, 2027 ~ February 23, 2031.
- Refixing Floor: 31,050 KRW (70% of initial price). *Includes an obligatory upward refixing clause linked to stock price recovery.
- Embedded Call/Put Options:
- Investor Put Option (Early Redemption): Eligible every 3 months starting 24 months post-issuance (March 23, 2028) at an annual compound rate of 2.0%.
- Issuer Call Option: The company or designated entities can exercise a buyback right for up to 30% of the initial aggregate volume every 3 months between month 12 (March 23, 2027) and month 57 (December 23, 2030) ensuring a 2.0% compound return.
- Subscription & Payment Date: March 23, 2026 (Allotted to Mirae Asset Securities for 35B KRW / Mirae Asset Securities IMA for 10B KRW)
📈 2. [Expert View: Market Impact & Stock Price Analysis]
- High-Grade Mezzanine Capital Destination Targeting Structural Scaling (Positive Driver): Large-scale mezzanine financing usually triggers immediate market anxiety regarding upcoming dilution. However, allocating 45 billion KRW explicitly for multi-year raw wafer reserves and structural R&D changes the narrative. Injecting a steady 10 billion KRW annually into chip inventory indicates that management is scaling up components to insulate its supply chain against substantial forward orders from international tech accounts.
- Ultra-Low Dilution Footprint (2.86%) and a 1-Year Lockup Protects Technicals: The potential share expansion is capped at a minor 2.86% of the company’s float. Furthermore, standard private placement regulations dictate a strict 1-year lockup period (no conversion or bond splitting permitted until March 2027), completely eliminating the possibility of immediate arbitrage dumping or short-term order book disruption.
- Upward Refixing Framework Shields Existing Blockholders: While traditional downside protection exists (70% floor at 31,050 KRW), the inclusion of a mandatory upward refixing framework anchors equity value. As the stock price rallies, the conversion bar moves up accordingly, heavily mitigating per-share dilution risks during a bull cycle. Combined with a 30% corporate call option, management secures an administrative lever to absorb future supply blocks or optimize internal ownership matrixes.
📝 Editor’s Comment (by K-STOCK Editor)
Alright, degens, Jeju Semiconductor’s cash vault just officially broke wide open today! On top of the massive 62 billion KRW BW filing, they just hit the market with an additional 45 billion KRW private Convertible Bond (CB) issuance. We are talking about a jaw-dropping total war chest of ‘107 billion KRW’ loaded up via a single board session! Over on Reddit and international trading desks, the bulls are throwing down: “A semiconductor play banking over 100 billion KRW in institutional money in one day is on another level,” and “Hoarding wafers like this basically confirms they’ve secretly secured massive supply contracts in the backroom.” The initial conversion bar is locked tight at 44,300 KRW, and with a strict 1-year lockup in place, short-term sellers are completely blocked out. Now that multi-billion institutional whales are aggressively funding the company’s AI rocket engine, let’s see how high the bulls can blast this chart!
📢 Disclaimer & Source Information
Source: This content has been structured and newly written based on official data submitted to the Electronic Disclosure System (DART) of the Financial Supervisory Service.
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