FAQ (frequently asked questions)

The interest rate on Koykan bonds is determined in accordance with the goal of offering investors an attractive but sustainable return, considering the stable cash flows that the Company achieves through the chain of its own and franchised QSR (quick service restaurant) locations. Koykan operates in several cities with a proven unit economics model and short returns on invested capital of an average of two years.

The minimum investment amount is EUR 1,000, which makes Koykan corporate bonds available to a wide range of investors, including small investors and private individuals.

Koykan already uses a multi-channel approach to financing, including bank loans, leasing models, private investors, as well as generating positive operating cash flow from existing locations. The company has defined the target minimum amount of investment and has already secured financing for that threshold, which further confirms the safety and success of this issue.

As with any investment, there are risks including changes in the food market, operational challenges in expanding the retail network and possible regulatory changes in the franchise segment. However, Koykan operates through a diversified portfolio of carefully selected location and uses a technologically integrated system for monitoring operations, which significantly reduces operational and financial risks.

Yes. Koykan is committed to regular and transparent reporting to investors via semi-annual business reports, in which key operational and financial indicators relevant to bondholders will be presented.

Yes, the Company can, with prior notice and under the conditions defined in the issue documentation, make an early repayment of the bonds. In this case, investors retain the right to payment of principal and interest until the day of early repayment.

 Koykan issues two types of bonds:
    1. A convertible bond, which includes the option of exchange for business shares of the Company, i
    2. A standard bond, without the right to conversion, which is repaid according to the terms of maturity.

Convertible bonds are a type of bonds that allow investors to convert their debt into equity shares in the company under pre-defined conditions. This mechanism reduces investment risk while offering the potential for higher long-term returns. That is precisely why convertible bonds are attractive both for the companies that issue them and for the investors who invest in them.

The minimum investment amount for a convertible bond is EUR 50,000. Investors who invest this amount or more automatically acquire the right to use the mechanism of conversion into business shares Societies.

 Investors who invest less than EUR 50,000 can participate through a standard bond, but they do not have the right to convert into business shares. Upon maturity, they are paid the nominal value of the bond in accordance with the terms of the issue.

Correct. All investors who invested a minimum of EUR 50,000 have the right to convert all or part of the nominal amount of the bond into business shares of the Company, in accordance with the conditions conversions.

Additionally, Koykan Group employees who are still actively employed at the time of conversion, and who have invested less than EUR 50,000, will also have the option of conversion. With this, the Company actively encourages loyalty, long-term cooperation and building strong working relationships teams.

The conversion ratio is calculated according to the formula:

(Amount of conversion / Value of the Company on the day of conversion) × 100 = percentage of ownership

Based on this, the number of business shares that the investor acquires is determined.

The value of the Company on the day of conversion is determined according to the latest valuation by the investors who invested in the ownership of the company, but only if this evaluation is equal to or higher than €6,250,000. If the value of the Company in that round is less than that amount, a protective minimum (floor) value of €6,250,000 is applied, which is determined as the value of the Company from the last investment round in 2023.

If there is no more recent official equity round by the time of conversion, the floor valuation of €6,250,000 is automatically applied.

Equity round in this context implies a new investment in the Company’s business shares that was carried out in a transparent manner, with accompanying financial and business documentation and with a clearly established evaluation of the Company that reflects the market conditions at the time of the investment.

Investment in bonds will be converted into equity shares of the Company through the optimal conversion model at the time of maturity. The conversion mechanism will be structured either directly into the Company’s business shares or through the transition of the Company into a joint-stock company (d.d.), or through a specially established legal entity (SPV) that will enable investors to participate in ownership. The chosen model will depend on the legal, regulatory and operational circumstances at the time of conversion, and all investors will be provided with equivalent economic rights and proportional ownership.

If the investor does not want to convert the bond by the maturity date, the Company is obliged to pay the entire nominal amount of the bond, together with the agreed interest.

Can I partially convert and keep the rest until maturity?

Yes, the conversion decision must be made no later than 6 months before the bond expires, so that the Management can timely prepare all legal and corporate actions for the implementation of the conversion

No later than 3 months before maturity bond, the Management Board of the Company undertakes to convene a general meeting with the aim of making a decision on increasing the share capital by issuing new business shares. This will allow investors who have invested through a convertible bond to exercise their right to conversion.

After the meeting, the Management Board will inform all investors about the detailed conversion model, including the technical and time frame of its implementation.

The Company’s management undertakes to do everything in its power to hold the assembly on time and to make the necessary decisions for the implementation of the conversion. However, it should be kept in mind that there can always be extraordinary circumstances or external factors that can affect the course or outcome of this process (eg regulatory changes, court cases, property law obstacles).

If the investor does not exercise the right to conversion for any reason, including his own decision, the bond is treated as a standard bond, and upon maturity the Company will pay its nominal value in accordance with the conditions of issue.

Currently, Koykan is focused on maximizing positive cash flows and expanding the operating network through its own and franchised QSR locations. Since there are no institutional investors in the ownership structure that would direct strategic decisions, the Company retains full autonomy in conducting business. In the future, Koykan will continue to make all business decisions with the aim of maximizing returns for its investors, and with a clear ambition to realize the IPO at the optimal time. At the same time, Koykan especially values ​​small investors and strives to achieve the maximum form of transparency towards them, so that the relationship of trust is based on clear information and mutual interest for long-term success.