The state-run Export-Import Bank of Korea said Thursday it has issued a three-year Australian dollar-denominated bonds worth AU$700 million ($460 million) to investors.

Following the deal, Eximbank said it has become the first Asian financial institution to sell Kangaroo bonds, or Australian dollar-denominated bonds issued by a non-Australian entity, since the coronavirus outbreak.

The bonds were oversubscribed as Eximbank received AU$1.7 billion subscriptions from 57 investors. JPMorgan, Mitsubishi UFJ Financial Group, National Australia Bank and Westpac were bond underwriters.

Eximbank issued the securities in dual tranches. The AU$500 million floating-rate bonds were offered at Australia’s short-term benchmark Bank Bill Swap Rate plus 1.07 percent, while the other AU$200 million tranche carried a 1.311 percent fixed-rate.

Since 2012, Eximbank has issued a combined AU$4.8 billion Kangaroo bonds.

The latest deal enabled investors to enjoy higher interest rates by at least 10 basis point, compared with US dollar-denominated bonds, Eximbank said.

“Despite the persisting financial market unease following the spread of the COVID-19, (Eximbank) reaffirmed the investor confidence in bonds issued by us as a safe haven,” it said in a statement.

Prior to the deal, Eximbank sold $700 million US bond and 700 million euros ($767.2 million) worth of Eurobonds in April, as well as $500 million global bond in February.

By Son Ji-hyoung (consnow@heraldcorp.com)