LS Marine Solution will issue exchangeable bonds (EB) totaling 37.4 billion won, with its own shares as the exchange underlying. It plans to invest the funds raised in port real estate to install offshore wind power equipment.
On the 28th, LS Marine Solution disclosed that it plans to invest about 72 billion won to purchase real estate for an offshore wind installation port project. Of the investment, 37.4 billion won will be raised through an EB issued with treasury shares as the exchange underlying, and the remaining 34.6 billion won will be covered with internal funds.
The collateral to be provided is 2.58% (1,345,875 shares) of LS Marine Solution common stock. The EB will be acquired by Brain Asset Management and KY PE. The EB matures on Jun. 17, 2029, and the coupon and yield to maturity are each set at 1%. The exchange price is 27,800 won, about 3% higher than the closing price of 27,000 won that day.
Brain Asset Management plans to invest a total of about 17 billion won using its existing pre-IPO fund and a new, tentative "Brain MR Fund." KY PE will invest a total of 20.4 billion won through the "KY Growth Investment No. 1" fund.
KY PE is a third-year private equity fund (PEF) manager and, in forming its first blind fund this year, received investment commitments of more than 400 billion won from domestic institutional investors. It was established in 2023 through a physical spin-off from stock fund manager Brain Asset Management.
LS Marine Solution said, "We determined that building an offshore wind-dedicated installation port is strategically important not only for creating synergies with our existing businesses centered on cable laying and construction, but also for strengthening our response to national infrastructure projects and securing new sources of revenue."