Woori Bank Successfully Issues 400 Million AUD Kangaroo Bonds

[Asia Economy Reporter Kim Hyo-jin] Woori Bank announced on the 16th that it issued a 400 million Australian dollar (approximately 327 billion KRW) 'Kangaroo COVID-19 Recovery Support Sustainability Bond' on the 15th.

Kangaroo bonds are bonds issued by foreign institutions offshore in the Australian capital market. This bond is an environmental, social, and governance (ESG) bond used for sustainable activities such as job creation and eco-friendly projects in line with support for companies affected by COVID-19 and the Korean New Deal policy.

The issuance conditions were divided into a 3-year maturity floating rate bond (250 million AUD) and a fixed rate bond (150 million AUD). The interest rate for the floating rate bond added 72 basis points to the 3-month BBSW (Australian dollar floating rate bond benchmark), and the fixed rate bond was 0.839% per annum. This is 8 basis points lower than the initially offered rate.

Woori Bank recently set up the first integrated issuance program for bonds and certificates of deposit (CDs) in Australia by a domestic institution and promoted this deal. It explained that the first issuance was successfully completed amid interest from Australian and Asian institutional investors.

A Woori Bank official said, “We actively explained Woori Bank’s excellent asset soundness and solid financial performance to Kangaroo bond investors to attract them,” adding, “In the global situation of COVID-19 resurgence, we will strive to expand the investor base and secure stable foreign currency funding by pioneering new fundraising markets.”

This content was produced with the assistance of AI translation services.