The Export-Import Bank of Korea (www.koreaexim.go.kr, Chairman Lee Duk-Hoon, "Korea Eximbank") announced that it successfully issued a USD 1.5 billion triple-tranche Global Bond to investors worldwide in the early morning of January 19.

 As the first global bond offered by Korea Eximbank this year, this issue consists of USD 0.5 billion 3-year fixed-rate bonds, USD 0.5 billion 5-year fixed-rate bonds and USD 0.5 billion 5-year floating-rate notes, priced at 3-year US Treasury yields plus 0.70%, 5-year US Treasury yields plus 0.925% and 3-month US Libor plus 0.875%, respectively.

 A Korea Eximbank official said, "Taking the Korean government's recent USD 1 billion bond issuance, closed last week, as a momentum, Korea Eximbank attracted the interests of foreign investors." The official added, "We were able to confirm foreign investors' keen interests in Korean papers as the bond was oversubscribed by two times even in the midst of heated competition in the international debt capital market with eight institutions participating in issuing bonds in the Asian market alone."

 The bond offered by the Bank attracted USD 2.8 billion from 237 investors. By region, 55% of the 3-year fixed-rate bonds were allocated to Asian investors, followed by 28% to the US and 17% to Europe, while the 5-year fixed-rate bonds were allocated 46% to Asia, 39% to the US, and 15% to Europe, and the 5-year floating-rate notes were allocated 50% to Europe, 42% to Asia and 8% to the US.

 The issue made on the day was notable in that blue-chip investors such as central banks, supranationals and pension funds participated as anchor investors.

 The Korea Eximbank official said, "We spotted the ideal timing for the offering by closely monitoring the possibility of increasing volatility in the international financial market triggered by diverse events such as the U.S. president-elect, Trump's inauguration, increase of the federal fund rate, hard Brexit, etc."

 The proceeds obtained through this issue will be used to support the globalization of Korea's key industries such as overseas construction & industrial plants and new growth industries which include service industry and new energy industry.

 As the nation's biggest issuer of international bonds, Korea Eximbank is planning to diversify its funding portfolio to achieve the target of USD 11 billion this year.