Daewoo Construction announced on April 28 that it had issued green bonds worth $245 million (351.5 billion won). Green bonds are bonds in which the funds raised are used for eco-friendly projects, and this issuance was made in foreign currency targeting overseas investors.
Mizuho Securities Asia acted as the lead manager for this bond issuance. Although the initial offering was set at $100 million, the amount was increased due to strong interest from overseas investors. The company stated that the funds raised will be used for renewable energy, eco-friendly buildings, energy efficiency, sustainable water resources and water treatment management, eco-friendly transportation, and circular economy and eco-friendly products and production technologies. The maturity date is three years from the date of issuance.
The company explained that this demonstrates the trust that its sustainable management strategy has earned from overseas investors. Previously, in 2023, the company became the first domestic firm to issue a sukuk, an Islamic bond. Last year, it also became the first Korean construction company to issue a bond fully guaranteed by the Credit Guarantee and Investment Facility (CGIF), an institution under the Asian Development Bank. A company representative stated, "This is a successful case of an environmental, social, and governance (ESG) strategy that meets global standards, and it has become an important opportunity to increase collaboration with overseas investors."
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