Credit card issuer Lotte Card’s corporate logo (Lotte Card)
South Korean credit card issuer Lotte Card has issued social bonds worth 150 billion won ($135 million), the company said Monday.
The newly issued bonds, a type of environment, social and governance investment, are aimed at supporting the socioeconomically vulnerable population and creating jobs. Funds raised from the bond issuance will be used to pay settlement costs in advance for mom-and-pop stores and small businesses, which have been bearing the brunt of the ongoing coronavirus crisis.
The bonds, which will be issued via local brokerage NH Investment & Securities, will comprise ones with a three-year and three-month maturity, four-year maturity and five-year maturity. The credit card affiliate of commerce giant Lotte Group has been certified for issuing the ESG bonds by Korea Investors Service, a credit rating firm, for the first time in the financial sector here. It earned a “SB1” grade, one of the highest ratings given to fundraising projects.
By Kim Young-won (email@example.com