Kyung Nam Pharm decides on a paid-in capital increase of about 190 billion won for operating funds

Kyung Nam Pharm announced on 21 that it had decided on a paid-in capital increase of about 190 billion won through a rights offering to existing shareholders followed by a public offering of unsubscribed shares, to secure operating funds and other resources. The company stated the method of the capital increase and the purpose of the fundraising in its disclosure. As a KOSDAQ-listed company, it will provide further information about the relevant procedures through disclosures.

In a rights offering to existing shareholders followed by a public offering of unsubscribed shares, new shares are first allocated to existing shareholders, and any shares not allocated or declined are offered to the general public. Kyung Nam Pharm will issue new shares through this method. The specific allocation ratio and issuance terms can be found in a separate disclosure.

The company stated in its disclosure that the funds raised would be used for operating funds and other purposes. Specific details on how the funds will be used and the schedule will be disclosed later. Information on investor rights and changes to existing shareholders’ ownership stakes will also be included in the disclosure.

In connection with this decision, the company will follow the relevant legal procedures and allocation method. Key details, including the practical schedule and offering price, will be disclosed in a future definitive filing. Investors should check the filing for the detailed terms.

This filing by Kyung Nam Pharm sets out the company’s financing plan in concrete terms. The company chose a rights offering to secure the funds it needs. Updates on the related procedures will be provided in additional filings.