[KGM Pyeongtaek Factory Overview [Provided by KGM]]
[Herald Economy = Yang Dae-geun Reporter] KG Mobility (hereinafter referred to as KGM) issued a revised announcement on the 8th, partially modifying the “Capital Reduction Decision” disclosed on the 10th of last month. The revised announcement pertains to the increase in the total number of issued shares and capital following the exercise of conversion rights for 30 billion won in bearer private convertible bonds (120th issue) on that day.
The stocks to be converted via this exercise comprise 3.03% of the issued shares, totaling 5,952,380 shares, with a conversion price of 5,040 won. The new listing date is May 9th, coinciding with the listing date post-capital reduction. As a result, the total remaining balance of KGM’s convertible bonds (CB) decreases from 108.5 billion won to 14.5 billion won, securing financial stability.
According to the company, this conversion price reflects market expectations of continued growth potential as a future mobility company, following increased export volumes and the signing of a joint development agreement for medium to large-sized sports utility vehicles (SUVs) with Chery Automobile on the 2nd.
A KGM representative stated, “It is expected to be positive for securing investment resources to pursue our mid- to long-term growth strategy alongside improving our financial structure,” and added, “Based on improved financial stability, we will evolve into a sustainably growing company through strategic cooperation such as utilizing Chery Automobile’s global platform and joint development.”