Reputation Enhanced in US
KB Kookmin Bank announced on May 28 that the bank successfully raised project finance in a deal to take over a US gas-fired power plant for US$100 million.
KB Kookmin Bank took part as an investor in a project to raise a total of US$810 million for the acquisition of power plants by the Starwood Energy Group, an energy-specialized investment company.
The specific acquisition targets are three combined gas-fired thermal power plants whose combined power generation capacities amount to 1123 MW in total in the PJM and ISO-NE power markets in the eastern United States.
KB Kookmin Bank submitted a letter of commitment (LOC) for US$300 million in investment and was finally allocated US$100 million due to high local demand for investment.
Of the US$100 million, US$30 million was directly invested by KB Kookmin Bank, US$67 million came from a fund under the management of KB Asset Management and the remaining US$3 million was delivered from US investors via KB Kookmin Bank.
"We are in the process of enhancing KB Kookmin Bank's reputation in the US project financing (PF) market," a KB Kookmin Bank official said. "We will continue to make active investments to strengthen the overseas IB business."