Hanon Systems Issues KRW 300 Billion in Corporate Bonds

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Feb 09, 2017, 19:15 ET

DAEJEON, South Korea, Feb. 9, 2017 /PRNewswire/ -- Hanon Systems (KS:018880), a leading global provider of automotive thermal and energy management solutions, today announced it has issued corporate bonds with a total value of KRW 300bil with maturities of three, five and seven years.

This action represents an increase of the intended amount of KRW 200bil, following the recent demand forecast of nearly KRW 900bil conducted on Feb. 2. It is the second consecutive year Hanon Systems has issued bonds of KRW 300bil and the third time since its placement on the Korea Exchange (KRX).

"We continue to deliver a positive equation by satisfying customer demand for value-driven and differentiated thermal solutions, while achieving strong financial performance and securing growth in this highly competitive automotive sector," said Thomas Bum Joon Kim, Hanon Systems chief financial officer.

The company intends to use the funds to repay maturing debt and to use as operating capital.

The rating agencies – KIS Rating and Korea Rating – continue to give Hanon Systems a long-term credit rating of AA0 (outlook stable), placing Hanon Systems' bonds in the high-quality "investment grade" category.

Lead arranger for the transaction is NH INVESTMENT & SECURITIES CO., LTD.

About Hanon Systems
Hanon Systems is a full-line supplier of automotive thermal and energy management solutions. Products include heating ventilation and air conditioning; compressors; powertrain cooling; fluid transport; and thermal and emissions solutions for conventional and electric, hybrid and fuel cell vehicle thermal systems. With 40 manufacturing sites supported by four global technical centers in 20 countries, the company employs more than 16,500 people. To learn more, visit hanonsystems.com.

SOURCE Hanon Systems