SK Siltron Issues 40 Billion KRW Green Bonds

SK Siltron Wafer

[Asia Economy Reporter Choi Dae-yeol] SK Siltron, which manufactures wafers for semiconductors, announced on the 7th that it will issue green bonds worth 40 billion KRW. According to the securities registration statement submitted to the Financial Supervisory Service on the same day, the company plans to conduct a demand forecast for the issuance of 5-year green bonds totaling 40 billion KRW on the 10th and complete the issuance process by the 17th.

The funds raised this time will be used to expand the silicon carbide (SiC) wafer business facilities of its subsidiary SK Siltron CSS in the United States. SiC wafers are a fundamental material attracting attention for next-generation power semiconductors. Compared to conventional wafers, they are characterized by stable performance even in high-temperature and high-voltage environments. The industry expects them to be widely used in electric vehicles, renewable energy such as solar and wind power, and energy storage systems (ESS), where demand has recently been increasing.

According to the company, the credit rating is A0 (stable), and the lead underwriters are SK Securities and NH Investment & Securities. The underwriting companies include KB Securities, Kiwoom Securities, Hanwha Investment & Securities, and Hi Investment & Securities. Korea Credit Rating, the green bond certification agency for the bonds to be issued by SK Siltron, stated, "Electric vehicles reduce greenhouse gas emissions by 51% compared to conventional gasoline vehicles," and recognized that producing SiC wafers for power semiconductors contributes to environmental improvements such as greenhouse gas emission reduction.

The company previously received the highest ESG bond rating, Green Bond Grade 1, in late last month. A company official said, "The SiC wafer business is SK Siltron's next-generation growth engine that aligns with ESG management."

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