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[Alpha Biz= Kim Sangjin] LG Energy Solution announced on Tuesday that it has submitted a securities registration statement to the Financial Supervisory Service for the issuance of corporate bonds.


This marks the company’s third issuance of KRW-denominated corporate bonds. The bond offering consists of 2-year, 3-year, 5-year, and 7-year maturities, with a total registered issuance amount of KRW 800 billion.


LG Energy Solution plans to conduct a bookbuilding process with institutional investors on February 6. Based on demand, the company may consider increasing the issuance volume. The final issuance amount, interest rates, and other terms will be determined according to the results of this demand forecast.


The proceeds from this bond issuance will be used to fund ongoing capital expenditures (CapEx) for large-scale global production facilities. Currently, LG Energy Solution is constructing five new manufacturing plants in North America, including joint ventures with Stellantis in Ontario, Honda in Ohio, and Hyundai Motor Group in Georgia.


Following the successful issuance of KRW 1 trillion in corporate bonds in 2023, the company set a record in 2024 by issuing KRW 1.6 trillion, the largest single issuance in the Korean bond market.


LG Energy Solution has received a stable credit rating of AA0 from major domestic credit rating agencies, Korea Ratings and NICE Investors Service, reflecting its strong financial structure and leading market position in the battery industry.

 

 

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