Shinhan Bank Issues $500 Million Global Senior Unsecured Foreign Currency Bonds

Successful Foreign Currency Bond Issuance Amid Eased Market Volatility from U.S. Tariff Policy in May
Twelfth Consecutive ESG Bond Issuance as a Social Bond

Shinhan Bank announced on May 9 that it had successfully completed a public offering of global senior unsecured foreign currency bonds worth $500 million (KRW 713.3 billion) on May 6.

The bonds were issued as five-year fixed-rate notes, with the coupon rate set at 4.649% per annum, which is 0.72 percentage points above the yield of U.S. Treasury bonds with the same maturity.

Prior to the issuance, Shinhan Bank conducted investor roadshows, directly visiting major institutional investors in Asia, Europe, and the Americas. Despite ongoing market uncertainties, investor sentiment toward high-quality issuers showed signs of recovery, resulting in participation from over 220 investors and total orders reaching $4.4 billion. This strong demand enabled the bank to reduce the spread by 0.38 percentage points compared to the initial guidance.

Since the second half of 2020, Shinhan Bank has linked all of its foreign currency public bonds to ESG, and this latest issuance was also successfully completed as a social bond, marking the twelfth consecutive ESG bond issuance.

A Shinhan Bank representative stated, "Despite heightened global market uncertainty, we achieved a successful issuance based on our outstanding financial performance and the trust we have built with overseas investors over time. Going forward, we will continue to focus on building long-term relationships with overseas investors, grounded in financial performance and capital stability."

Meanwhile, Citigroup Global Markets Securities, Credit Agricole, JP Morgan, Mizuho Securities, MUFG Securities, and Standard Chartered served as joint bookrunners for this issuance.

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