POLUS BioPharm Inc. (KOSE:A007630) announced private placement of 28th series unregistered coupon unguaranteed private convertible bonds for gross proceeds of KRW 12,000,000,000 and 29th series unregistered coupon unguaranteed private convertible bonds for gross proceeds of KRW 6,000,000,000, aggregate proceeds of KRW 18,000,000,000 on August 20, 2018. The transaction with respect to 28th series bonds will include participation from new investors Union Savings Bank for proceeds of KRW 3,000,000,000, Youil PE Investment for proceeds of KRW 3,000,000,000, Mason Capital Corporation (KOSDAQ:A021880) for proceeds of KRW 2,000,000,000, Sky Savings Bank, Ltd for proceeds of KRW 1,000,000,000, and Eugene Savings Bank Co., Ltd. for proceeds of KRW 3,000,000,000 and for 29th series bond from individual investor Seung-Heon Nam. The 28th series bonds are issued at par and will mature on August 23, 2021.

The 28th series bonds carry 4% coupon rate and yield to maturity of 4% and 29th series bonds will carry zero coupon and yield to maturity of 6%. The series 28th and 29th bonds will mature on August 23, 2021 and will be fully convertible into shares at a fixed conversion price of KRW 15,033 per share between August 23, 2019 to July 23, 2021. The subscription date is August 22, 2018 and payment date is August 23, 2018.

The transaction has been approved by the board of directors of the company.