[Market Now] Dongbu Securities acquires Hyundai Card bonds

Published : Apr 12, 2016 - 10:51 Updated : Apr 12, 2016 - 10:51

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Hyundai Card said Tuesday that Dongbu Securities acquired all of its bonds worth 40 billion won ($34.9 million).

The credit card joint venture of Hyundai Motor, Korea’s largest automaker, and GE Capital will use the proceeds to finance its operations, according to a regulatory filing.

Dongbu Securities (Yonhap)

Hyundai and Kia Motors have a combined 48 percent stake in Hyundai Card, while IGE USA Investments, an affiliate of GE Capital, has a 43 percent stake.

With an annual interest rate of 2 percent, Hyundai Card’s AA-plus bonds mature in April 2021.

By Park Hyong-ki (hkp@heraldcorp.com)