Mercury Corporation announced that it expects to receive KRW 20 billion in funding from Smart Financing 16th Co. Ltd., eBest Investment Securities Co., Ltd., Investment Arm, KB Securities Co., Ltd., Investment Arm, NH Investment & Securities Co., Ltd., Investment Arm
November 13, 2019
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Mercury Corporation (KOSDAQ:A100590) announced a private placement of 4th series Unregistered unguaranteed private convertible bond for gross process of KRW 20,000,000,000 on November 13, 2019. The transaction will include participation from Smart Financing 16th Co. Ltd. for KRW 10,000,000,000, eBest Investment Securities Co., Ltd., Investment Arm for KRW 1,000,000,000, KB Securities Co., Ltd., Investment Arm for KRW 3,000,000,000, NH Investment & Securities Co., Ltd., Investment Arm for KRW 2,000,000,000, Pharos Argo Hedge Fund 1 for KRW 2,500,000,000, Pharos Multi Hedge Fund 1 for KRW 1,000,000,000 , and Pharos Pacific Hedge Fund 1 for KRW 500,000,000. The bonds are issued at zero interest rate and will mature on November 15, 2024. The bonds can be 100% converted into 1,990,643 common shares for 11.88% stake of the company at a fixed conversion price of KRW 10,047 per share. The conversion period is from November 15, 2020 to October 15, 2024. The transaction has been approved by the board of directors of the company. The transaction is expected to close on November 15, 2019. The bond have a lock up period of 12 months.
Mercury Corporation is a company mainly engaged in the production and sale of information and communication equipments. Along with subsidiaries, the Company operates its business through two segments. The Terminal Business segment is involved in the manufacturing and sale of access points (APs), fiber to the building optical network terminals (FTTH ONTs), unshielded twisted pair cable (UTP) modems, voice over Internet protocol (VoIP) gateways, as well as Internet of things (IoT) gateways, among others. The Other Business segment is engaged in the manufacturing and sale of IP version of wired telephone exchange equipments, satellite communication equipments, small exchange equipments and optical cables, among others. The Company distributes its products within the domestic market and to overseas markets.