Brain Contents CO., LTD. (KOSDAQ:A066980) announced that it will issue series 27 Non-guaranteed Private convertible bonds for gross proceeds of KRW 15,000,000,000, series 28 domestic bearer-free non-guaranteed private equity non-separable new stock underwriting rights bond for gross proceeds of KRW 15,000,000,000 and 19,000,000 common shares at a price of KRW 500 for gross proceeds of KRW 9,500,000,000 for aggregate gross proceeds of KRW 39,500,000,000 on December 9, 2020. The transaction will involve participation from J Asset 1 Association for KRW 15,000,000,000 for series 27 bonds, WIZIT Co., Ltd. (KOSDAQ:A036090), T Scientific Co.,Ltd (KOSDAQ:A057680) and Powernet Technologies Corporation (KOSDAQ:A037030) for KRW 5,000,000,000 each for series 28 bonds and JSI Company Co., Ltd. for 10,000,000 shares and Eyesvision Corp. (KOSDAQ:A031310) for 9,000,000 shares.

The bonds do not carry any coupon and have yield to maturity of 2%. The bonds will mature on February 08, 2026. The bonds will be issued at par.

The series 27 bonds and series 28 bonds are fully convertible into 27,322,404 shares each representing 17.25% stake each at a fixed conversion price of KRW 549 each starting from February 08, 2022 till January 08, 2026. The subscription date for series 27 bonds and series 28 bonds is December 09, 2020 and expected payment date is February 08, 2021. For common shares expected payment date is December 23, 2020.

The shares to be issued are subject to a hold period of 1year from the date of issuance. The transaction has been approved by the board of directors of the company.