New Risk • Apr 03
New major risk - Financial position The company has less than a year of cash runway based on its current free cash flow trend. Free cash flow: -₩8.0b This is considered a major risk. With less than a year's worth of cash, the company will need to raise capital or take on debt unless its cash flows improve. This would dilute existing shareholders or increase balance sheet risk. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-₩8.0b free cash flow). Earnings have declined by 56% per year over the past 5 years. Shareholders have been substantially diluted in the past year (146% increase in shares outstanding). Minor Risk Market cap is less than US$100m (₩21.9b market cap, or US$14.5m). Announcement • Mar 04
Hyungji Global Co., Ltd., Annual General Meeting, Mar 31, 2026 Hyungji Global Co., Ltd., Annual General Meeting, Mar 31, 2026, at 09:00 Tokyo Standard Time. Location: conference room, 49, harmony-ro 177beon-gil, yeonsu-gu, incheon South Korea New Risk • Jan 02
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of South Korean stocks, typically moving 11% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risks Earnings have declined by 58% per year over the past 5 years. Shareholders have been substantially diluted in the past year (146% increase in shares outstanding). Minor Risks Share price has been volatile over the past 3 months (11% average weekly change). Market cap is less than US$100m (₩41.2b market cap, or US$28.5m). Announcement • Jul 17
Hyungji Global Co., Ltd. has completed a Follow-on Equity Offering in the amount of KRW 19.2 billion. Hyungji Global Co., Ltd. has completed a Follow-on Equity Offering in the amount of KRW 19.2 billion.
Security Name: Common Stock
Security Type: Common Stock
Securities Offered: 4,559,734
Price\Range: KRW 3200
Discount Per Security: KRW 64
Security Name: Common Stock
Security Type: Common Stock
Securities Offered: 1,440,266
Price\Range: KRW 3200
Discount Per Security: KRW 64
Transaction Features: Rights Offering New Risk • Apr 27
New major risk - Shareholder dilution The company's shareholders have been substantially diluted in the past year. Increase in shares outstanding: 32% This is considered a major risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. Currently, the following risks have been identified for the company: Major Risks Share price has been highly volatile over the past 3 months (23% average weekly change). Earnings have declined by 52% per year over the past 5 years. Shareholders have been substantially diluted in the past year (32% increase in shares outstanding). Minor Risk Market cap is less than US$100m (₩53.4b market cap, or US$37.1m). Announcement • Apr 03
Hyungji Global Co., Ltd. has filed a Follow-on Equity Offering in the amount of KRW 20.52 billion. Hyungji Global Co., Ltd. has filed a Follow-on Equity Offering in the amount of KRW 20.52 billion.
Security Name: Common Stock
Security Type: Common Stock
Securities Offered: 6,000,000
Price\Range: KRW 3420
Discount Per Security: KRW 68.4
Transaction Features: Rights Offering New Risk • Apr 01
New major risk - Financial position The company has less than a year of cash runway based on its current free cash flow trend. Free cash flow: -₩4.4b This is considered a major risk. With less than a year's worth of cash, the company will need to raise capital or take on debt unless its cash flows improve. This would dilute existing shareholders or increase balance sheet risk. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-₩4.4b free cash flow). Share price has been highly volatile over the past 3 months (16% average weekly change). Earnings have declined by 52% per year over the past 5 years. Minor Risk Market cap is less than US$100m (₩39.6b market cap, or US$27.0m). New Risk • Mar 28
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of South Korean stocks, typically moving 11% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 53% per year over the past 5 years. Minor Risks Share price has been volatile over the past 3 months (11% average weekly change). Market cap is less than US$100m (₩23.5b market cap, or US$16.0m). Announcement • Mar 18
Castelbajac Co., Ltd., Annual General Meeting, Mar 31, 2025 Castelbajac Co., Ltd., Annual General Meeting, Mar 31, 2025, at 10:00 Tokyo Standard Time. Location: conference room, 49, harmony-ro 177beon-gil, yeonsu-gu, incheon South Korea New Risk • Dec 10
New minor risk - Share price stability The company's share price has been volatile over the past 3 months. It is more volatile than 75% of South Korean stocks, typically moving 8.9% a week. This is considered a minor risk. Share price volatility indicates the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. It also increases the risk of potential losses in the short term as the stock tends to have larger drops in price more frequently than other stocks. Currently, the following risks have been identified for the company: Major Risk Earnings have declined by 53% per year over the past 5 years. Minor Risks Share price has been volatile over the past 3 months (8.9% average weekly change). Market cap is less than US$100m (₩21.0b market cap, or US$14.7m). Announcement • Mar 26
Castelbajac Co., Ltd. announced that it expects to receive KRW 3 billion in funding Castelbajac Co., Ltd. announced a private placement to issue Series 6 Bearer Interest Unsecured Private Placement Rights Subordinate Bonds for the gross proceeds of KRW 3,000,000,000 on March 25, 2024. The transaction will include participation from returning lender, Sangsangin Plus Savings Bank Co.,Ltd. for KRW 1,500,000,000 and Sangsangin Savings Bank for KRW 1,500,000,000. The bonds carry coupon rate of 2% and maturity rate of 5% and will mature on March 28, 2027. The bonds are fully exercised into 689,496 common shares at a stock price of KRW 4,351 per share from March 28, 2025 to February 28, 2027. The transaction is expected to close on March 28, 2024. The transaction has been approved by the board of directors of the company. Announcement • Mar 13
Castelbajac Co., Ltd. announced that it expects to receive KRW 10 billion in funding from Sangsangin Savings Bank, Sangsangin Plus Savings Bank Co.,Ltd., Sangsangin Investment & Securities Co.,Ltd., KB Securities Co., Ltd. Castelbajac Co., Ltd. announced a private placement of Series 5 Bearer-bearing interest-bearing unsecured private placement convertible bonds for the gross proceeds of KRW 10,000,000,000 on March 12, 2024. The transaction will include participation from new investors Sangsangin Savings Bank for KRW 4,500,000,000, Sangsangin Plus Savings Bank Co.,Ltd. for KRW 4,500,000,000, Sangsangin Investment & Securities Co.,Ltd. for KRW 500,000,000 and KB Securities Co., Ltd. for KRW 500,000,000. The bonds carry coupon rate of 2% and maturity rate of 5% and will mature on March 15, 2027. The bonds are fully convertible into 2,266,032 common shares at a conversion price of KRW 4,413 per share from March 15, 2025 to February 15, 2027. The transaction has been approved by the shareholders of the company and is expected to close on March 15, 2024. The bonds are restricted to a hold period of 1 year from the date of bond issuance. Reported Earnings • Mar 26
Full year 2022 earnings released: ₩1,440 loss per share (vs ₩1,020 loss in FY 2021) Full year 2022 results: ₩1,440 loss per share (further deteriorated from ₩1,020 loss in FY 2021). Revenue: ₩61.8b (down 17% from FY 2021). Net loss: ₩9.26b (loss widened 38% from FY 2021). Over the last 3 years on average, the company's share price growth rate has exceeded its earnings growth rate by 105 percentage points per year, which is a significant difference in performance. Reported Earnings • Mar 28
Full year 2021 earnings released: ₩1,020 loss per share (vs ₩727 profit in FY 2020) Full year 2021 results: ₩1,020 loss per share (down from ₩727 profit in FY 2020). Revenue: ₩74.7b (up 11% from FY 2020). Net loss: ₩6.73b (down 240% from profit in FY 2020). Valuation Update With 7 Day Price Move • Oct 06
Investor sentiment deteriorated over the past week After last week's 16% share price decline to ₩11,200, the stock trades at a trailing P/E ratio of 59.4x. Average trailing P/E is 11x in the Luxury industry in South Korea. Total returns to shareholders of 15% over the past year. Announcement • Aug 12
Castelbajac Co., Ltd. (KOSDAQ:A308100) announces an Equity Buyback for KRW 5,000 million worth of its shares. Castelbajac Co., Ltd. (KOSDAQ:A308100) announces a share repurchase program. Under the program, the company will repurchase up to KRW 5,000 million worth of its own shares pursuant to a contract with Shinhan Investment Corp. The purpose behind the program is to improve shareholder value and to stabilize stock price. The repurchase program will expire on February 11, 2022. As of August 10, 2021, the company had no treasury shares within scope available for dividend and no shares in treasury through other repurchase. Announcement • Jun 09
Castelbajac Co., Ltd. announced that it has received KRW 20 billion in funding On June 8, 2021, Castelbajac Co., Ltd. (KOSDAQ:A308100) closed the transaction. Reported Earnings • Mar 21
Full year 2020 earnings released: EPS ₩727 (vs ₩1,083 in FY 2019) The company reported a poor full year result with weaker earnings, revenues and profit margins. Full year 2020 results: Revenue: ₩67.3b (down 17% from FY 2019). Net income: ₩4.80b (down 30% from FY 2019). Profit margin: 7.1% (down from 8.4% in FY 2019). The decrease in margin was driven by lower revenue. Valuation Update With 7 Day Price Move • Jan 07
Investor sentiment improved over the past week After last week's 36% share price gain to ₩14,750, the stock is trading at a trailing P/E ratio of 17.8x, up from the previous P/E ratio of 13.1x. This compares to an average P/E of 14x in the Luxury industry in South Korea. Total returns to shareholders over the past year are 56%. Is New 90 Day High Low • Jan 07
New 90-day high: ₩14,750 The company is up 52% from its price of ₩9,700 on 08 October 2020. The South Korean market is up 23% over the last 90 days, indicating the company outperformed over that time. It also outperformed the Luxury industry, which is up 8.0% over the same period. Is New 90 Day High Low • Dec 18
New 90-day high: ₩11,000 The company is up 12% from its price of ₩9,800 on 18 September 2020. The South Korean market is up 14% over the last 90 days, indicating the company underperformed over that time. However, it outperformed the Luxury industry, which is up 8.0% over the same period. Valuation Update With 7 Day Price Move • Dec 18
Investor sentiment improved over the past week After last week's 19% share price gain to ₩11,000, the stock is trading at a trailing P/E ratio of 13.3x, up from the previous P/E ratio of 11.2x. This compares to an average P/E of 15x in the Luxury industry in South Korea. Total returns to shareholders over the past year are 15%. Is New 90 Day High Low • Oct 26
New 90-day low: ₩9,000 The company is down 22% from its price of ₩11,500 on 28 July 2020. The South Korean market is up 6.0% over the last 90 days, indicating the company underperformed over that time. It also underperformed the Luxury industry, which is up 14% over the same period. 