Korean construction materials manufacturer KCC Corporation last night raised $200 million from an upsized five-year exchangeable bond which will be used partly to repay a $153 million loan, and partly for new investments. The bonds are exchangeable into ordinary shares of Hyundai Heavy Industries and come only five months after KCC bought back part of another EB that was partly exchangeable into Hyundai Heavy through a tender. That earlier bond was trading well below par at the time of the tender and looked to have a minimal chance of being exchanged given the sharp decline in Hyundai's share price since it was issued.
Investors didn't seem to mind this...
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