Hanwha Co., Ltd. Attracts 1.5 Trillion Won in Demand Forecast for 150 Billion Won Public Bond Offering

Securing Funding 10 Times the Target Amount

Hanwha Co., Ltd. succeeded in securing about 10 times the amount of its target in the first public bond demand forecast conducted this year.

Hanwha Co., Ltd., with a credit rating of A+, announced on the 17th that it raised a total of 1.494 trillion KRW in the public corporate bond demand forecast conducted for a total of 150 billion KRW. For the 2-year maturity bonds, 481 billion KRW was received against a target of 60 billion KRW, about 8 times, and for the 3-year maturity bonds, orders worth 1.013 trillion KRW were received against a target of 90 billion KRW, about 11.2 times the target.

Hanwha Co., Ltd. proposed an interest rate by adding -50 to 50 basis points (1bp = 0.01 percentage points) to the individual average market rate (the unique rate evaluated by private bond rating agencies) as the desired interest rate range, and filled the 2-year maturity bonds at -16bp and the 3-year maturity bonds at -25bp.

Hanwha Co., Ltd. is considering increasing the issuance up to 250 billion KRW, and plans to use the raised funds for debt repayment such as maturing corporate bonds.

Hanwha Building, Janggyo-dong, Jung-gu, Seoul. Photo by Hanwha Group

Hanwha Co., Ltd. holds shares in excellent subsidiaries such as Hanwha Aerospace, Hanwha Solutions, Hanwha Life, and Hanwha Hotels & Resorts, playing a holding company role within the Hanwha Group. Accordingly, it generates stable profits based on brand revenue and dividend income.

The demand forecast results for corporate bonds of Hanwha Co., Ltd.'s subsidiaries are also excellent. Hanwha Aerospace (credit rating AA-) conducted a demand forecast on the 3rd aiming to issue corporate bonds worth 200 billion KRW, and received a total of 1.42 trillion KRW. Hanwha Solutions (credit rating AA-) also attracted a total of 1.345 trillion KRW in the demand forecast held on the 5th, targeting a corporate bond issuance of 200 billion KRW.

A Hanwha Co., Ltd. official said, "Hanwha plays a holding company role within the Hanwha Group, and the ability to generate stable profits and maintain financial stability seems to be reflected in the corporate bond demand forecast results."

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