Dynamic Design Co., LTD. announced a private placement of series 6 unregistered coupon nonguaranteed private convertible bonds for gross proceeds of KRW 17,000,000,000 and series 5 unregistered coupon nonguaranteed private convertible bonds for gross proceeds of KRW 13,000,000,000 for total proceeds of KRW 30,000,000,000 on August 10, 2021. The series 6 bond transaction will include participation from TL Holdings Co., Ltd. for KRW 7,000,000,000, NexturnBioscience Co., Ltd for KRW 7,000,000,000, Baitree Co., Ltd. for KRW 2,000,000,000, Pumyang Atlanta, INC and Hyung-cheol Yoon for KRW 500,000,000 each. The series 5 bond transaction will include participation from Meritz Securities Co., Ltd., for KRW 10,000,000,000, Meritz Securities Co., Ltd., Investment Arm for KRW 1,500,000,000, and Meritz Fire & Marine Insurance Co., Ltd. for KRW 1,500,000,000.

The bonds will be issued at par and will carry coupon rate of 5% for series 6 and 4% for series 5. The series 6 bonds have yield to maturity of 6% and series 5 bonds have yield to maturity of 5% would mature on August 12, 2024. The series 6 bonds will be fully convertible into 34,000,000 shares of the company at a fixed conversion price of KRW 500 from August 13, 2022 to August 07, 2024. The series 5 bonds will be fully convertible into 17,379,679 shares of the company at a fixed conversion price of KRW 748 from August 13, 2022 to August 07, 2024.

The subscription and the payment date of both the bonds is August 12, 2021. The transaction has been approved by the board of directors of the company.