- Posco raises $500 million through a three-year United States dollar green bond.
- The bond’s final pricing was set 40 basis points tighter than the initial guidance.
South Korean steelmaker, Posco, has successfully raised $500 million through a three-year United States dollar green bond. The bond, priced at Treasuries plus 110 basis points, saw final pricing set 40 basis points tighter than initial guidance. Posco, not responding immediately to comments, experienced strong demand, reaching $4 billion, with 71 per cent of buyers from Asia Pacific.
In addition, the firm received 19 per cent from Europe and the Middle East and 10 per cent from the United States. Over 200 investors participated, mostly asset and fund managers. This successful bond issuance is part of a robust start to 2024 for South Korea’s corporates, with SK Battery America and Woori Bank also making noteworthy transactions. According to a mandated book-runner notice, Mirae Asset Securities is exploring a potential three and five-year dollar bond.