By Kang Yoon-seung
SEOUL, April 15 (Yonhap) -- South Korea's top fixed-line operator, KT Corp., said Tuesday it will raise US$1 billion by selling bonds to overseas investors as it aims to raise cash for debt payments in the coming months.
Of the amount, $650 million will mature in three years and the remaining $350 million in five years.
The three-year bonds will carry an interest rate 100 basis points above the yield on three-year U.S. Treasurys. The rate of the five-year bonds will be 110 basis points higher than the government bonds of the same maturity.
KT said the raised proceeds will be used to repay debts worth $600 million maturing in June. The company also holds 140 billion won ($134 million) debts maturing in August.
KT, also the country's No. 2 mobile carrier, said global credit appraisers such as Moody's and Standard