CHOROKBAEM COMPANY Co., Ltd. announced a private placement of 16th bearer type unguaranteed domestic private placement convertible bonds for gross proceeds of KRW 15,000,000,000 and 6,901,312 preferred stock at a price of KRW 1,449 per share for gross proceeds of KRW 10,000,001,088, for aggregate proceeds of KRW 25,000,001,088 on November 4, 2021. The stock will be subscribed by Quel Fund and bond will be subscribed by Ive Fund. The transaction has been approved by the board of directors of the company.

The payment date of sock and bonds is November 16, 2021. The preferred stock is convertible into 6,901,312 common stock of the company at a price of KRW 1,449 per share during conversion period of November 16, 2022 till October 16, 2026 and are redeemable. The stock and bonds will be subject to hold period of 1 year.

The bonds carry rate of interest of 3% per annum and will mature on November 16, 2024. The bonds are fully convertible into 9,096,422 shares of the company at a conversion price of KRW 1,649 per share. The conversion period will start from November 16, 2022 and ends on October 16, 2024.