Hyundai Doubles Corporate Bonds Sale to W600B Due to Demand

Hyundai Motor Co. has doubled its issuance of corporate bonds to 600 billion won due to strong demand.

The debt has a maturity period of three to seven years.

The company made the sale to refinance maturing dollar-denominated debt.

According to a Hyundai spokesperson, the company initially planned to issue 300 billion won in corporate bonds but changed its mind due to strong demand.

Hyundai was struck by regulations to stem the spread of COVID-19, forcing it to suspend operations in most of its 10 overseas plants, including four in China.

The company's plant in Alabama has restarted production while those in China are operating, although not yet in full capacity.

Hyundai's overseas plants, along with its seven domestic plants, have a combined capacity to produce 5.5 million vehicles.

Hyundai's net profit in the first quarter plummeted 42 percent to 552.68 billion won from 953.79 billion won from a year before due to the outbreak, which disrupted its production and sales.