Kahee Co., Ltd. (KOSDAQ:A030270) announced a private placement of first unregistered unsecured coupon unguaranteed private convertible bonds for proceeds of KRW 10,000,000,000 and second unregistered unsecured coupon unguaranteed private convertible bonds for proceeds of KRW 1,900,000,000 for gross proceeds of KRW 11,900,000,000 on February 3, 2016. The bonds will be issued at its par value. The transaction will include participation from Da Vinci No.

3 Investment Fund for the series one bonds. Kim, Myung-Eun, Fantagio Corp., and Yoo, Hyun-Sook will subscribe for the series two bonds for KRW 700,000,000, KRW 1,000,000,000, and KRW 200,000,000 respectively. The first unregistered convertible bonds will mature on March 29, 2019, with fixed yield to maturity of 6% and fixed 4% interest rate per annum.

The second unregistered convertible bonds will mature on February 5, 2019, with fixed 3% yield to maturity and fixed 3% interest rate per annum. The bonds have lump-sum redemption of principal on maturity and can be fully converted into common shares of the company at a fixed conversion price of KRW 1,650 per share. The first unregistered convertible bonds will be fully convertible from March 29, 2017 to February 28, 2019.

The second unregistered convertible bonds will convertible from February 5, 2017 to January 5, 2019. The payment date for the series one bonds is expected on March 29, 2016. The payment date for the series to bonds is expected on February 5, 2016.

The transaction was approved by the board of directors of the company.