Woori Bank Raises $275M via First Independent Overseas Branch Bond Issuance

Woori Bank announced on July 8 that it raised a total of $275 million by issuing foreign currency bonds through four overseas branches in London, Hong Kong, Los Angeles (LA), and Singapore. This marks the first time Woori Bank's overseas branches independently issued foreign currency bonds without involvement from the domestic headquarters in South Korea. The issuance demonstrates that the bank's overseas operations have established the infrastructure to secure funding independently in local bond markets.

Hong Kong Branch Issued $180 Million Across Four Rounds

The Hong Kong branch accounted for the largest portion of the issuance, raising $180 million through four separate rounds conducted between April and May. The LA branch issued $20 million, the London branch issued $45 million, and the Singapore branch issued $30 million. Each branch executed the bond sales independently within their respective local markets.

Woori Bank Used MTN Program for Flexible Issuance

The bank conducted the issuances through its Medium Term Note (MTN) program, a medium- to long-term funding mechanism that allows issuers to set a predetermined issuance limit and flexibly issue foreign currency bonds within that range as needed. This structure provides the bank with operational flexibility to respond to funding requirements across different markets and timeframes.

Bank Plans to Expand MTN Limit to $10 Billion by Year-End

Woori Bank stated it will expand the total MTN program issuance limit from the current $7 billion to $10 billion by the end of the year. Of the expanded limit, $1 billion will be allocated specifically to overseas branches. The bank indicated this allocation aims to further strengthen the independent fundraising capabilities of its international operations.

FAQ

What did Woori Bank announce on July 8? Woori Bank announced it raised $275 million by issuing foreign currency bonds through four overseas branches in London, Hong Kong, Los Angeles, and Singapore, marking the first time its overseas branches independently issued bonds without domestic headquarters involvement.

How much did each Woori Bank overseas branch issue? The Hong Kong branch issued $180 million across four rounds between April and May, the London branch issued $45 million, the LA branch issued $20 million, and the Singapore branch issued $30 million.

What is Woori Bank's plan for its MTN program limit? Woori Bank plans to expand its MTN program issuance limit from $7 billion to $10 billion by year-end, with $1 billion of the expanded limit allocated to overseas branches to strengthen their independent fundraising capacity.