FerroTec Corporation disclosed supplementary explanation materials concerning the 2028 maturity Euro Yen convertible bond with warrants issued on June 23, 2023 (issue amount: 25 billion yen), including details on the soft call clause and conversion price adjustment 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center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"jir_stock_code":"6890","jir_company_name":"FerroTec Corporation","jir_importance":"\u2605\u2605\u2605\u2606\u2606","jir_publication_date":"2026-01-09","jir_source_link":"https:\/\/japanir.jp\/wp-content\/uploads\/2026\/01\/6890-20260109-01.pdf","jir_short_summary":"FerroTec Corporation disclosed supplementary explanation materials concerning the 2028 maturity Euro Yen convertible bond with warrants issued on June 23, 2023 (issue amount: 25 billion yen), including details on the soft call clause and conversion price adjustment clause.","jir_summary":"### Issuance Overview of Convertible Bonds with Warrants (CB)\nFerroTec Corporation issued Euro Yen convertible bonds with warrants maturing in 2028 on June 23, 2023 (issue amount: 25 billion yen). These CBs were issued as zero-coupon bonds with an issue price of 102.50 yen, issue value of 100.00 yen, a term of 5 years, and an interest rate of 0%. At issuance, the conversion price was set above market price to suppress short-term EPS dilution. Accompanying clauses include a 130% soft call option exercisable after 3 years and a put option exercisable after 3 years. The proceeds will be allocated to the construction of a factory at the Malaysian subsidiary, domestic and overseas capital expenditures, and repayment of bonds and long-term borrowings.\n\n### Conversion Price Adjustment Clause and Dilution Impact\nThis CB includes a conversion price adjustment clause (dividend protection) whereby the conversion price is adjusted upon dividend payments. A soft call option is set where the issuer may redeem early if the stock price exceeds 130% over a specified period. The potential dilution rate is a maximum of 13.8%. Upon conversion, equity capital is expected to increase by approximately 25 billion yen, raising the equity ratio from 37.0% to 41.15%, a 4.15-point increase. This is expected to strengthen equity capital in the future.","jir_financial_highlights":"Issue Amount: 25 billion yen (Unknown)\nIssue Price \/ Issue Value: 102.50 yen \/ 100.00 yen (Unknown)\nTerm: 5 years (Unknown)\nInterest Rate (Coupon): 0% (Unknown)\nReference Stock Price \/ Initial Conversion Price (Premium Rate): 3,165 yen (closing price on 2023\/6\/7) \/ 4,020 yen (Premium rate: 27.01%) (Unknown)\nOutstanding Shares: 47,117,949 shares (as of 25\/11\/14) (Unknown)\nPotential Dilution Rate: 13.8% (Maximum) (Unknown)\nEquity Ratio (Post-Conversion): 41.15% (+4.15pt)","jir_category":"","jir_hashtags":"#FerroTecCorporation, #ConvertibleBonds, #CapitalPolicy, #CBIssuance","jir_key_figures":"Issue Amount: 25 billion yen\nReference Stock Price \/ Initial Conversion Price: 3,165 yen (closing price on 2023\/6\/7) \/ 4,020 yen (Premium rate: 27.01%)\nPotential Dilution Rate: Maximum 13.8%\nOutstanding Shares: 47,117,949 shares (as of 25\/11\/14)\nEquity Ratio (Post-Conversion): 41.15% (+4.15pt)","jir_meta_title":"FerroTec Corporation Supplementary Explanation on 25 Billion Yen 2028 Maturity Convertible Bonds with Warrants","jir_meta_description":"FerroTec Corporation provides supplementary explanations regarding the 25 billion yen Euro Yen convertible bonds with warrants issued in June 2023, maturing in 2028. Details include soft call and conversion price adjustment clauses. Potential dilution rate is a maximum of 13.8%, with the equity ratio expected to rise to 41.15% post-conversion.","jir_og_title":"FerroTec Discloses Supplementary Explanation Materials for 25 Billion Yen 2028 Maturity Convertible Bonds","jir_og_description":"FerroTec provides additional details on capital policy related to convertible bonds with warrants issued in June 2023. Potential dilution rate is 13.8%, with equity ratio expected to increase to 41.15%.","jir_og_image_url":"\/assets\/og\/company-capital_policy.jpg","jir_chart_data_collection":"[]","ir_related_company":8880,"ir_release_date":"","ir_type":"","ir_is_new":false,"ir_document_url":"","jir_ir_type":"capital_policy","footnotes":""},"sector":[],"importance":[],"class_list":["post-16584","ir_release","type-ir_release","status-publish","hentry"],"yoast_head":"\n