Hyundai Card issues $193 mn Korean green bonds

South Korea's Hyundai Card announced on Friday that it has issued a green bond worth 250 billion won ($193 million), becoming the first company in the card industry to embrace the Korean classification system for green economic activities, known as K-Taxonomy.

K-Taxonomy, jointly established by the Ministry of Environment and the Financial Services Commission, provides a comprehensive framework for determining the environmental friendliness and carbon neutrality of specific technologies and industrial activities.

Hyundai Card's inaugural won-denominated green bond is exclusively available to institutional investors in Korea. The bond consists of three tranches, with maturity periods of 50 billion won for three years,  50 billion won for four years, and 150 billion won for five years.

Due to the overwhelming interest from investors, the issue size has been increased by 100 billion won from the initial plan.

As a captive financial service subsidiary of Hyundai Motor Group, Hyundai Card intends to utilize the funds raised through the green bond issuance to provide financial services for eco-friendly vehicles, including Hyundai Motor Group's electric vehicles and hydrogen cars.

Write to Sang Hoon Sung at uphoon@hankyung.com