KB Kookmin Bank Issues $500 Million Global Bond

Securing $1.5 Billion Order

KB Kookmin Bank announced on the 18th that it issued $500 million worth of senior global bonds on the 17th.

The issuance yield of these global bonds is 4.651%, which is 95 basis points (1bp = 0.01 percentage points) above the U.S. 5-year Treasury yield. Over 100 institutions participated, securing orders exceeding $1.5 billion, about three times the issuance amount of $500 million. The spread was also reduced by 40 basis points from the initially offered rate. As a result, the spread for foreign currency public bonds issued by commercial banks reached double digits for the first time in over a year. This was achieved based on the rapid recovery of investment sentiment in the Asian market and strong demand for KB Kookmin Bank bonds, recording a negative New Issue Premium (NIP).

From the 10th of this month, KB Kookmin Bank conducted face-to-face meetings and conference calls with more than 50 institutional investors in Singapore, Hong Kong, and the United States over the course of a week. During these sessions, the bank explained not only its current status but also the stability of the domestic financial system following the Silicon Valley Bank (SVB) and Credit Suisse (CS) incidents, making efforts to attract investors.

A KB Kookmin Bank official stated, “Despite the recent increased concerns about global banks and financial systems, we were able to attract strong demand from global investors,” adding, “It is even more meaningful as it confirms investors’ trust in the overall Korean financial system.”

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