J'sco Holdings Cancels Additional Convertible Bonds Worth 5.7 Billion KRW... "Resolving Overhang"

JSCO Holdings announced on the 26th that it will additionally cancel 5.7 billion KRW of the first series convertible bonds (CB) acquired through the put option (call option).

By canceling an additional 5.7 billion KRW following the previous 8 billion KRW, JSCO Holdings has significantly alleviated the overhang (potential sell-off volume) burden. Of the 24 billion KRW worth of first series convertible bonds acquired in April, 13.7 billion KRW has been canceled, resulting in the elimination of approximately 5,594,120 convertible shares, about 57%, which is expected to reduce the dilution effect on equity.

In particular, since conversion has been requested for 5.5 billion KRW of the first series CB, this cancellation and conversion have finalized the settlement of the first series CB.

JSCO Holdings, which is preparing for the second phase (3,434 hectares) exploration permit (EP) for its nickel mine site in the Philippines, plans to receive the nickel ore exploration report within August. Once the second phase EP approval is completed next month, drilling operations will be conducted over a total of 4,492 hectares to verify reserves, composition, and other factors.

A company official stated, “To secure funding for the nickel business, we have decided to cancel all remaining convertible bonds except those recently resold,” and added, “Even though the conversion price of the resold convertible bonds does not differ from the current stock price, investors who trust the Philippine nickel mining project have participated in purchasing the convertible bonds for long-term investment purposes, so there will be no burden of volume after conversion.”

He continued, “Once the second phase EP approval process is completed, we will proceed with drilling operations and exclusive sales rights contracts using the funds secured through the resale of convertible bonds as originally planned,” and added, “Since everything from securing investment funds to administrative procedures is progressing smoothly, we expect to begin the first mining operation early next year.”

This content was produced with the assistance of AI translation services.