Polus Inc., a South Korean biopharmaceutical company, will issue 90 billion won (US$78.22 million) worth of corporate bonds.
The company announced on July 7 that it plans to issue private placement corporate bonds worth 50 billion won (US$43.44 million), including convertible bond (CB) and bond with stock purchase warrants (BW), with NH Investment & Securities as a lead manager. In addition, Polus has decided to 40 billion won (US$34.76 million) worth of private placement corporate bond without guarantee at the same time. An official from the company said, “However, private placement corporate bond without guarantee doesn’t’ require a separate official notice.”
Founded in March 2016, Polus has been aiming to develop microorganic cell-based protein biosimilars for treatment with its own technology, manufacture them at its own facilities and supply them to the global markets, including the United States and Europe, at a competitive price.
To this end, the company has been constructing its microorganic cell-based biosimilar production facilities in Jangan Complex-type Foreign Investment Zone II in Hwaseong, Gyeonggi Province, from the end of February with the investment of 250 billion won (US$217.11 million). It will also inject most of 90 billion won (US$78.16 million) secured from the issuance into the factory construction.
Park Joo-ho, president of Polus, said, “In addition to the private mezzanine financing for corporate bunds to be issued, we are discussing various ways to attract large investments with numerous investment institutions at home and abroad. When we agree on final terms and conditions and receive investment funds in the near future, we will be able to secure funds for global clinical trial of Lantus biosimilar, which is scheduled to begin in the middle of next year, and new business projects as well as the ongoing construction of the production facilities.”
Polus raised more than 50 billion won (US$43.44 million) of money from investors at home and abroad last year as well and was registered as a foreigner-invested enterprise.