Shin & Kim and Paul Hastings have advised on Korea Electric Power Corporation’s (KEPCO) USD700 million dual-tranche note issuance under its USD11 billion Global Medium Term Note (GMTN) programme.
The offering comprised USD300 million 4.75% senior unsecured notes due 2031 and USD400 million floating rate senior unsecured notes due 2029.
The transaction was conducted in accordance with Rule 144A and Regulation S of the US Securities Act of 1933, as amended, and the notes were listed on the Singapore Exchange.
Shin & Kim acted as domestic Korean counsel to KEPCO, advising on the review of offering documents and key transaction agreements prepared by Paul Hastings. These included the base offering memorandum, pricing supplements, pricing term sheets, as well as supplements to the programme agreement and subscription agreement.
The firm also reviewed regulatory filings with the Ministry of Economy and Finance (MOEF) and conditions precedent closing documentation. Advice on Korean legal issues was also provided throughout the programme update and drawdown process.
Partner Yong Jin Park led the Shin & Kim team with support from associates Miryung Yang, Jaehyun Lee and Jiwoo Jung.
“In this transaction, careful attention was paid to timetable management to ensure the deal’s execution and the acceptance of the securities registration statement proceeded seamlessly in alignment with KEPCO’s agreed schedule with the MOEF,” Park told Asia Business Law Journal.
Park said KEPCO’s regular issuances under its GMTN programme served as a benchmark for other Korean issuers accessing international debt markets.
“KEPCO is a frequent issuer that routinely offers foreign currency-denominated bonds overseas under its GMTN programme. Alongside the South Korean government’s Foreign Exchange Stabilisation Bonds and issuances from state policy institutions like Korea Development Bank (KDB) and the Export-Import Bank of Korea (KEXIM), KEPCO serves as a primary benchmark for pricing and terms when Korean entities tap international debt markets,” he said.
Paul Hastings served as the sole international counsel to the joint lead managers, which included Citigroup Global Markets, JP Morgan Securities, Merrill Lynch International and the Hongkong and Shanghai Banking Corporation (HSBC).
The Paul Hastings team was led by Seoul office co-chair Iksoo Kim, alongside partner Joongwon Park and corporate attorney Hee Jin Woo.
KEPCO is South Korea’s largest state-owned electric utility company and is listed on both the Korea Exchange and the New York Stock Exchange.
