HOUSTON, July 11,
2024 /PRNewswire/ -- Kraton Corporation, a leading
global sustainable producer of specialty polymers and high-value
biobased products derived from pine wood pulping co-products, is
proud to announce the successful completion of its global bond
issuance, raising USD 1 billion with
the backing of KDB's (Korea Development Bank) credit guarantee.
This strategic financial move underscores the strength of Kraton's
market position and its innovative partnership with parent company
DL Chemicals, which is focused on leveraging our combined expertise
and market reach to drive sustainable growth.
The global bond issuance saw robust participation from key
investors across Asia,
Europe, and the United States. Six renowned bookrunners
efficiently managed the book-building process: KDB, Citigroup,
Crédit Agricole, JP Morgan, Mizuho, and Standard Chartered. This
reflects global confidence in Kraton's financial health and
strategic vision for the future.
The three-year global bonds were issued at a competitive rate,
reducing Kraton's overall capital cost thanks to the KDB-backed
credit guarantee. This guarantee, the largest of its kind by a
domestic bank, played a crucial role in securing the favorable
interest rate, highlighting the market's trust in DL Chemical and
Kraton's expertise and robust business model. This successful bond
issuance offers numerous strategic benefits to Kraton, including
expanded global reach in debt markets, strengthened relationships
with key financial institutions, substantial interest rate savings,
improved cash flow, and a reinforced capital structure.
Kraton's CEO, Marcello Boldrini,
commented on the successful bond issuance: "This strategic
financial milestone is a testament to the confidence the global
market has in Kraton and DL Chemicals. The credit guarantee from
KDB, the largest ever by a domestic bank on global bonds,
underscores our strong financial foundation and the exceptional
trust in our strategic direction. We are committed to leveraging
this success to fuel our growth and enhance value for our
stakeholders."
DL Chemical's CEO, Jong Hyun Kim,
added: "Our collaboration with Kraton continues to yield
significant strategic benefits. This bond issuance strengthens
Kraton's financial position and exemplifies the synergistic
potential of our combined expertise and market reach."
For more information about Kraton, please visit
www.KRATON.com.
About DL Chemicals:
DL Chemicals is a global
leader in the chemical industry renowned for its innovation,
sustainability, and commitment to excellence. Its partnership with
Kraton enhances its global footprint and strengthens its position
in the market.
About Kraton Corporation:
Kraton Corporation is
a leading global producer of specialty polymers and high-value
performance products derived from renewable resources. Kraton's
polymers are used in a wide range of applications, including
adhesives, coatings, consumer and personal care products, sealants
and lubricants, and medical, packaging, automotive, paving, and
roofing products. As the largest global provider in the pine
chemicals industry, the company's pine-based specialty products are
sold into adhesive, road and construction, and tire markets, and it
produces and sells a broad range of performance chemicals into
markets that include fuel additives, oilfield chemicals, coatings,
metalworking fluids, and lubricants, inks, and mining. Kraton
offers its products to a diverse customer base in over 70
countries.
*Kraton, the Kraton logo, and design are all trademarks of
Kraton Corporation, or its subsidiaries or affiliates, in one or
more, but not all, countries.
Media Contact: Kristen Boyd; T: (346) 280-7572
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SOURCE Kraton Corporation