Lee & Ko successfully performed a key role as legal advisors for LG Chem, Ltd. in the approximately US$ 1.6 billion issuance of global green bonds carried out by LG Chem in April. This deal was particularly significant due to the issuance constituting the largest issuance of green bonds by any Korean company to date, as well as being the world’s first issuance of green bonds by a chemical company.

LG Chem’s objective in issuing the green bonds was to procure investment funds needed to increase production of electric car batteries in order to respond to the volume of orders that have been received by the company. Except for its US$ 600 million issuance of foreign currency denominated exchangeable bonds in April 2018, LG Chem has no experience with overseas bond issuances and, accordingly, this global green bond issuance can in terms of size and significance be viewed as constituting LG Chem’s actual debut in the global bond market. The lead managers and the advisory team, including Lee & Ko, worked together closely to help ensure the success of this issuance by LG Chem. It is particularly noteworthy that this issuance, which was successfully completed on April 15, 2019, attracted the largest volume of orders ever for a Korean securities offering in the European and American financial markets.

Pursuant to acting for LG Chem in connection with the company’s April 2018 issuance of foreign currency denominated exchangeable bonds, Lee & Ko was retained by the company to handle this issuance of global green bonds and provided needed advice and assistance throughout the entire process. Attorneys Hyunjoo Oh, Seung-A Hyun, Dong Yon Kim and Sang Hyun Ahn, who are all members of Lee & Ko’s Capital Markets Practice Group, represented Lee & Ko in advising LG Chem, and the firm is particularly proud of the exemplary professionalism demonstrated by the above-named attorneys at every stage of the deal.