Kiwoom Securities raises $290M in first-ever hybrid bond issuance
What's the deal? Kiwoom SecuritiesDealroom has a profile for this one. Try Dealroom → has issued US$335.4M in hybrid capital securities, the first such issuance in its history. The private placement raised the funds from domestic institutional investors, including insurance companies.
The terms: The securities carry a 30-year maturity and an annual coupon rate of 5.65%. They include a call option that allows early redemption after five years from the issue date.
Why now? The board approved the US$335.4M limit on July 20, 2026, and this issuance fully uses it. The company aims to strengthen regulatory capital and secure operational funds.
What's the endgame? Hybrid capital securities are debt treated as equity on the balance sheet, thanks to their very long maturities. Kiwoom Securities plans to use the raise to meet financial authorities' capital requirements more stably and fund key operations.
The signal: The deal ranks among the larger post-IPO debt raises, sitting in the top quarter of comparable rounds by size. For Kiwoom Securities, tapping the hybrid market for the first time signals a move to shore up its balance sheet as it expands.
Read more: news.jkn.co.kr
Image credit: ehnmark
