kookmin-issues-asias-first-covered-bond

Kookmin issues Asia's first covered bond

Korea's biggest bank attracts strong demand for a $1 billion five-year covered bond issue, and avoids the constraints and stigma attached to government guarantees.

South Korea's biggest lender Kookmin Bank raised $1 billion from a five-year covered bond issue yesterday morning, after attracting orders worth $6 billion from 250 accounts worldwide.

It was the first ever sale of covered bonds in Asia and Kookmin, a unit of KB Financial Group, was able to price the deal at a lower yield and relative spread than it had indicated during the global marketing process. The deal was organised by joint lead managers Citigroup and HSBC.

In a media conference call yesterday, Kookmin Bank chief executive Chungwon Kang said he was very pleased with the pricing level, commensurate as it was with recent issues by Korean policy banks and government-guaranteed...

¬ Haymarket Media Limited. All rights reserved.

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 5 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222

Article limit is reached.

Hello! You have used up all of your free articles on FinanceAsia.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team (2-10 users), or office-wide licences. To help you and your colleagues access our proprietary content, please contact us at subscriptions@financeasia.com, or +(852) 2122 5222