[THE INVESTOR] Some South Korean companies with relatively high credit ratings are hurrying to raise capital in the debt market amid growing speculation that the US Federal Reserve may lift its benchmark interest rate soon, market watchers said Sept. 8.

The move is also attributable to growing worries that the corporate bond market may be strained suddenly by the impact of a corporate revamp drive, they added.

There was not a single A-rated corporate bond offering here in August. This month, however, SK Incheon Petrochem issued bonds worth 180 billion won (US$164 million).

Korea Real Estate Investment & Trust and SeAH Steel are preparing for bond issuances worth 100 billion won and 80 billion won, respectively.

Daelim Industrial is also seeking to raise 100 billion won through bond issuance early next month.

“Local firms with relatively good credit ratings are moving to issue corporate bonds in favorable conditions ahead of the US rate hike,” an investment industry official said.

Concerns have also mounted that the debt market may be struck by the fallout from the government-led corporate restructuring campaign.

(theinvestor@heraldcorp.com)