Korea Ocean Business Corporation Successfully Issues First Foreign Currency Bond Worth 300 Million USD

Korea Ocean Business Corporation announced on the 26th that it has successfully issued a total of $300 million in global bonds targeting investors in Europe and Asia.

The corporation recently issued $300 million denominated in US dollars with a 5-year maturity for the first time since its establishment. The final order amount exceeded $2.9 billion, and at one point during trading, it surpassed $3.1 billion.

Investment orders were concentrated from institutions preferring safe assets such as banks, asset management companies, and insurance companies in Asia and Europe. By region, Asia accounted for 89% and Europe 11%.

The subscription multiple was 10 times, and the final issuance yield was reduced by 30 basis points (0.30%) compared to the initial offered rate. The corporation succeeded in issuing without any premium on the new issuance.

Since the shipping market has the nature of international finance settled in US dollars, the corporation’s global bond issuance is expected to provide stable financial support to reduce the burden on domestic shipping companies exposed to foreign exchange risk.

Additionally, through foreign currency bond issuance, the corporation has diversified its foreign currency funding methods and plans to respond to the increasing dollar demand of domestic shipping companies in the future.

A corporation official stated, "We will continue to promote foreign currency bond issuance annually and plan to continuously expand foreign currency financial support for domestic shipping companies."

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