POSCO Future M: A Rights Offering Capital Raise of 1.1 Trillion Won

• Posco Future M (003670 KS) announced today that it plans to complete a rights offering capital raise of 1.1 trillion won.

• The capital raise will involve 11.483 million new shares, representing 14.8% of current outstanding shares. The expected rights offering price is 95,800 won, which is 15.8% lower than current price.

• We have a Negative view on POSCO Future M and this capital raise, which is likely to have a negative impact on its shares due to the dilution risk.

Source: Photo by Grok