LH Issues 500 Billion ESG Bonds for "Rental Housing Construction"

Korea Land and Housing Corporation (LH) announced on the 13th that it issued ESG (Environmental, Social, and Governance) bonds worth 500 billion KRW on the 12th.

The bonds were issued in amounts of 100 billion KRW for 3-year bonds, 250 billion KRW for 5-year bonds, and 150 billion KRW for 30-year bonds, with interest rates ranging from 3.267% to 3.417%.

LH explained, "Despite the unstable market interest rates, we succeeded in issuing at the level of the average market interest rate (the average evaluation rate by private bond rating agencies)."

ESG bonds are bonds whose issuance funds are used for socially responsible investments and are classified into green bonds, social bonds, and sustainability bonds.

This ESG bond is a social bond fully utilized for the construction of rental housing and is the second issuance this year following 530 billion KRW issued in February.

Kim Hyun-jun, CEO of LH, said, "With the consecutive issuance of ESG bonds, we have secured stable funding for rental housing construction, and we will continue to contribute to national housing stability. We will actively utilize ESG bonds to strengthen housing welfare and reduce carbon emissions, striving to practice ESG management."

LH plans to continue issuing green bonds and others in the second half of the year, aiming to expand the issuance amount of ESG bonds to about 25% of the total bond issuance target for this year.

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