Shinsteel Decides to Convert $12 Million Loan into Equity Investment in Mexican Subsidiary, Maintaining 100% Ownership

Shinsteel (162300) announced on July 23 that it has decided to acquire 2,087,700 shares of its Mexican subsidiary SHIN STEEL MEXICO by converting a $12 million dollar loan into equity. The transaction, valued at KRW 177.708 billion, uses exchange rates of KRW 1,480.90 per dollar for the conversion. The acquisition maintains Shinsteel's 100% ownership in the subsidiary, with completion expected on July 24, 2026. The move aims to strengthen the subsidiary's capital base and improve its financial structure, with the acquisition cost representing 20.89% of Shinsteel's equity as of December 31, 2025. The subsidiary's financials show assets of KRW 31.658 billion, liabilities of KRW 25.66 billion, and a net asset position of KRW 6.052 billion as of 2025.