LG Chem issues 1.2 trillion won corporate bond

LG Chem said on Monday that it is issuing 1.2 trillion won in corporate bond.

Around 800 billion won is for investments into environment, social and governance projects. 

The remaining 380 billion won will be to payback debt and to invest in petrochemical facilities.

LG Chem on January 9 held a demand forecast for institutional investors. Demand was double that of what the company expected so it decided issue 1.2 trillion won instead of 600 billion won it initially planned.

The 800 billion won will be sustainability bonds, which includes green bonds and social bonds. Green bonds are used for environmental protection projects and social bonds are used to hell create jobs or used to solve societal problems.

LG Chem said it plans to use the fund to invest for the use of renewable energy to reduce carbon emission, to build facilities that use and manufacture environmentally friendly materials, to expand cathode and other electric car battery material producing facilities and for the expansion of facilities to maintain quality of polio vaccines.