Hana Bank secured $2.7 billion in investor demand, or 4.5 times the issue size, as it issued $600 million in senior foreign-currency bonds. A feature of the issuance was that the bank attracted orders from local institutional investors through its first investor roadshow in mainland China.

Hana Bank said on Tuesday it issued $600 million in U.S. dollar senior bonds, comprising 3-year and 5-year fixed-rate notes.

Final yields were set at 5.25 percent for the 3-year tranche and 5.50 percent for the 5-year tranche. Final spreads narrowed by 33 basis points for the 3-year bonds and 30 basis points for the 5-year bonds from the initial guidance. Demand of $2.7 billion, or about 4.5 times the issue size, was maintained even after the final spreads were set.

The bonds were assigned credit ratings of A+ and Aa3 by international credit rating agencies S&P and Moody's, respectively.

Ahead of the issuance, Hana Bank held investor roadshows (NDR) for the first time in Shanghai and Beijing in China. In response to mainland Chinese institutional investors expanding offshore bond investment, it broadened its investor base by directly contacting major local institutional investors.

In particular, mainland Chinese institutional investors participated in actual bond orders, and Hana Bank views their demand as having contributed to lowering the issue yield.

A Hana Bank official in the funding division said, "We issued the bonds based on interest from overseas investors." The official added, "We will continue to expand our global investor base to strengthen stable foreign-currency funding capabilities."