The CoDi (stock code 224060) has decided to issue convertible bonds worth ¥300 billion with the aim of raising capital for acquiring legal securities. These bonds will be structured such that, upon full conversion, about 1.6375 % of the current shares—516,722,000 shares—will be converted into new shares amounting to 8,457,0400 shares. The conversion price has been set at ¥3,550 per share and the conversion period will run from October 6, 2027 to September 6, 2029; holders may request conversion every three months.
The bonds will be issued in two tranches of ¥150 million each for Goldmark Joint and Horizon Joint. The company stated it chose this amount after considering the necessity of raising capital and investors’ capacity to pay. The target entity and transaction terms have not yet been finalized; once determined, they will be announced after the bond issuance decision.
Considering that from the issue date the conversion and redemption are limited for a year, the company has stipulated that holders can request conversion only within a certain period. After the bond approval, the issue date is set as October 6, 2026, with maturity on October 6, 2029. Once conversion is completed, the structure will result in new share issuance and hence the number of shares outstanding will change relative to current shares.
The market, when assessing this bond announcement, found little evidence that the price rise on the immediate trading day (7th) was a direct cause; the announcement released at 7:53 a.m. on the 8th reflected the decision itself rather than a reaction. According to recent business reports, The CoDi regards manufacturing and sale of electric vehicles and related parts as its core business, with sales in the first half of 2026 totaling ¥60 billion, operating profit of ¥11 billion, and net loss of ¥17 billion. Amid such financial circumstances, the company is preparing for the convertible bonds issuance while also addressing changes in share numbers.