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(Photo= Yonhap news) |
[Alpha Biz= Reporter Kim Minyoung] On June 13th, Korea Credit Rating downgraded Taeyoung Construction's unsecured bonds 'Taeyoung Construction 68' from CCC to CC.
'Taeyoung Construction 68' was the only remaining publicly issued bond of Taeyoung Construction when it filed for workout at the end of last year.
On May 30th, Taeyoung Construction signed a workout compliance agreement with KDB Industrial Bank, its main bondholder, aiming to strengthen its capital through bond redemption and equity conversion, and to restructure its financial structure.
On June 11th, a bondholders' meeting was convened to obtain approval for the extension of maturity originally scheduled for next month, specifically targeting individual investors.
The extension proposal was approved with more than two-thirds of attending bondholders agreeing to it. Under the approved terms, 50% of the bonds will be converted into equity, and the maturity will be extended by 3 years. The coupon rate, originally 2.59%, will be increased to 3%.
Alphabiz Kim Minyoung (kimmy@alphabiz.co.kr)
