Hana Securities issues industry-first foreign-currency hybrid capital securities worth $300 million

[Financial News] Hana Securities has become the first Korean securities firm to issue foreign-currency hybrid capital securities.
Hana Securities said on the 1st that it issued $300 million worth of U.S. dollar-denominated foreign-currency hybrid capital securities on the 30th of last month, equivalent to approximately 410 billion won. The securities were issued under a “30NC5” structure, with a 30-year maturity and a call option exercisable five years after issuance.
The foreign-currency hybrid capital securities issued by Hana Securities received a “BBB” credit rating from global credit rating agency S&P Global Ratings. During the bookbuilding process, orders totaling $1.7 billion—about six times the offering size—came in from more than 120 institutional investors worldwide. The issuance rate was set at 6.50%, consisting of the U.S. five-year Treasury yield, the benchmark rate, plus a 169-basis-point spread. This was 30 basis points lower than the initial guidance.
Since issuing its first overseas public Korean paper in 2024, Hana Securities has demonstrated its stable funding capabilities by achieving results in the Korean paper market every year. Through this offering, the company is expanding its communication channels with investors and strengthening its position as a regular foreign-currency funding issuer by pursuing funding through a diverse range of products.
In particular, securing capital-qualifying resources beyond its previous reliance on dollar bonds will strengthen its capital adequacy and increase its capacity to expand future growth engines. Hana Securities plans to use the additional funding capacity actively to expand future growth businesses, including global investment banking, corporate finance and the provision of venture capital, as well as productive finance.
Kim Jung-hoon, head of Hana Securities’ FICC Division, said, "Having further solidified our position by becoming the first Korean securities firm to issue foreign-currency hybrid capital securities, we will continue strengthening our long-term relationships with global investors and enhancing our capital-raising competitiveness."
[email protected] Seo Min-ji Reporter