For Investment Abroad

LG Chem will issue convertible foreign bonds worth a total of approximately US$600 million for investment abroad.
LG Chem will issue convertible foreign bonds worth a total of approximately US$600 million for investment abroad.

 

LG Chem announced on April 10 that it would issue convertible bonds worth a total of approximately US$600 million for foreign investment attraction purposes. The registered and non-guaranteed foreign currency bonds are scheduled to be listed on the Vienna Stock Exchange and the funds resulting from the bond issuance are planned to be invested in Poland, China, etc.

The bonds to be issued in U.S. dollar and euro have a maturity of three years along with a yield to maturity of 0%. The exchange target is the 1,284,888 common shares LG Chem acquired during its merger with LG Life Sciences in December 2016. The bonds are scheduled to be issued at the closing price of the same date, 368,000 won, with a premium of 25% to 30% and 40% to 50% for the U.S. dollar and euro bonds, respectively. Specific figures are likely to be determined on April 11, depending on investor attraction results.

“The convertible foreign currency bonds issued this time have excellent conditions based on our ongoing strong performance and future growth potentials,” said LG Chem CFO Jung Ho-young, adding, “We will continue to enhance our financial soundness and improve our business structure.”

 

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