South Korean tire manufacturer Kumho Tire USA Inc. will sell bonds to help finance the construction of its one million-square-foot facility in Macon, Ga.
The Macon-Bibb County Industrial Authority agreed to issue bonds for up to $600 million for the plant, but “it was up to Kumho to decide when to put those bonds up for sale,” according to the Macon Telegraph.
The tiremaker will sell up to $300 million of the total bonds approved to finance the construction and equipping of the facility, according to media reports.
Bank of America and Merrill Lynch will underwrite the bonds and sell them to investors, Kevin Brown, the authority’s attorney, told the Telegraph. The authority is a conduit for the bond transaction, relieving itself, the city-county government and the school board from the responsibility of financing, he added.