South Korea

Korea’s Financial Conduct Authority has supported the covered bond market this year with a series of new measures that aim to stimulate demand and supply. Its actions should promote local currency issuance, building on this year’s strong start.

LG Display tapped the convertible bond market for W813.6bn ($687.8m) this week, its first equity-linked outing since the global financial crisis. Although the deal came at a troubling time for the issuer, its popularity has set the stage for a strong second half for the market. Jonathan Breen reports.

South Korean digital display manufacturer LG Display has bagged W813.6bn ($687.8m) from a convertible bond, according to a term sheet seen by GlobalCapital Asia.

South Korea’s sustainable financing efforts were given a boost this week, after Lotte Property and Development Co sold a $300m bond.

LG Display has hit the market with a convertible bond of up to $700m, according to a term sheet seen by GlobalCapital Asia.

Shinhan Financial Group has deepened its sustainable funding pool, raising $500m from a bank capital deal that was appealing to investors.

Hanwha Energy USA Holdings Corp’s green bond attracted more than $2bn of orders on Tuesday, allowing the borrower to close the $300m trade with no new issue premium.

Korea Western Power Co (Kowepo), the power supplier owned by state-backed Korea Electric Power Corp, sold $300m of three year notes on Monday, riding on strong demand from sovereign wealth funds and central banks.

The Korea Exchange has temporarily banned NH Investment & Securities (NHIS) and Korea Investment & Securities (KIS) from sponsoring growth-track IPOs in the country until November 2020, according to multiple sources close to the situation.

Korea Gas Corp (KoGas) became the first South Korean corporate to sell 10 year sustainability bonds on Tuesday, raising $500m. The country’s issuers are leading the way across Asia in selling environmental, social and governance debt.

Posco, the South Korean steel firm, has sold its first sustainability bond, raising $500m and attracting investors to its solid investment grade credentials.

Korea Development Bank (KDB) tapped the green investor base in Europe for its latest euro bond, achieving a record low funding cost and an unprecedented 0% coupon for a South Korean issuer.