Tongyang Life Insurance Issues $500 Million in Foreign Currency Bonds... "Largest Ever"

Proactive Capital Expansion Under the IFRS17 Framework

Tongyang Life Insurance announced on the 29th that it had issued $500 million (approximately 720 billion KRW) in subordinated foreign currency bonds on the 28th.

This issuance was conducted at an interest rate of 6.25% and targeted major institutional investors and investors worldwide. The bonds attracted a total of $3.6 billion in orders from 180 investors, resulting in a high level of competition.

This marks the first case in about three years since 2022 of a domestic insurance company issuing foreign currency bonds. The issuance took place amid heightened interest in insurance companies' capital adequacy and financial soundness following the adoption of International Financial Reporting Standards (IFRS17). Under the IFRS17 framework, stricter liability assessment standards have made the actual capital strength of insurance companies more important, making proactive capital raising a key task across the financial sector.

Tongyang Life Insurance has worked to enhance its creditworthiness through regular non-deal roadshows (NDR) for overseas investors over the past three years, as well as two global investor meetings this year, all based on continuous improvement of fundamentals and solid profitability. These efforts contributed to the successful raising of $500 million, the largest amount in the company's history.

A Tongyang Life Insurance representative stated, "The successful issuance of these foreign currency bonds reflects global investors' high evaluation of our stable financial structure and sustainable growth potential," adding, "We will continue to strengthen our capital soundness through proactive capital management and strategic funding in line with the IFRS17 era."

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