Korea Petroleum Industries Company announced a private placement to issue Series 1 Bearer-Bearing, Non-Coupon-Bearing, Non-Guaranteed Private Placement Exchangeable Bonds for the gross proceeds of KRW 9,646,826,020 on May 7, 2024.KB Securities Co., Ltd. (in the fiduciary position of "Fund 1") for KRW 600,000,000, KB Securities Co., Ltd. (in the fiduciary position of "Fund 2") for KRW 150,000,000, KB Securities Co., Ltd. (in the fiduciary position of "Fund 3") for KRW 600,000,000, KB Securities Co., Ltd (in the fiduciary position of "Fund 4") for KRW 500,000,000, KB Securities Co., Ltd. (in the fiduciary position of "Fund 5") for KRW 250,000,000, KB Securities Co., Ltd. (in the fiduciary position of "Fund 6") for KRW 500,000,000, JB-Rhinos Mezzanine New Technology Business Investment Fund for KRW 1,000,000,000, Samsung-Rhinos Mezzanine New Technology Business Investment Fund No. 1 for KRW 1,200,000,000, Shinhan Investment & Securities Co., Ltd. for KRW 1,966,826,020, IBKC-AH New Technology Business Investment Fund No. 5 for KRW 2,880,000,000.

The transaction has been approved by shareholders, restricted to a hold period and is expected to close on May 9, 2024. The bonds bear zero coupon rate and maturity rate and matures on May 9, 2029. The bonds are 100% convertible into 500,380 shares at a fixed conversion price of KRW 19,279 from May 10, 2024 to April 9, 2029.