The largest shareholder of the lighting manufacturer Solux took out a high-interest loan using most of their equity as collateral. This occurred after the shareholder's equity was subject to forced liquidation, causing the stock price to plummet day after day.
On the 24th, Jeong Jae-jun, the CEO of Solux, announced that he signed a stock collateral loan worth 11.6 billion won from the real estate development company Coprism Partners, using 6.41 million shares of the company as collateral. The annual interest rate is 9%, and the loan period is until the 14th of next month.
With this contract, 86.13% of the stocks held by CEO Jeong and his related parties (7,441,554 shares) will be used as collateral. Among the company's total shares, 13.22% will be held as collateral.
On the 13th and 14th, CEO Jeong sold 1,059,772 shares of Solux in the market. 70,000 shares were sold at 6,849 won each, and 989,772 shares were sold at 5,055 won each. The total proceeds from the sale were 5.5 billion won, and the reason for selling was "disposal of collateral stocks due to the execution of collateral rights."
In the past, they received a loan of 20 billion won using 6 million shares as collateral from Coprism Partners, but failed to repay it on time, leading to the interpretation that Coprism Partners disposed of the stocks it had secured as collateral. Solux experienced a decline of 2.84% on the 13th, followed by a drop of 29.93% on the 14th and 30% on the 17th.
Meanwhile, as Solux's stock price falls, the merger ratio with Aribio is expected to be adjusted. Since August of the previous year, Solux has been pursuing a merger with Aribio, a company developing treatments for brain diseases. According to the merger report submitted by Solux, the merger ratio between Solux and Aribio is 1 to 1.8547163. At that time, Solux's reference price was 11,262 won.