State Korea Electric Power Corp plans to raise more than US$1.5 billion from a bond sale and borrowings from the Korea Development Bank later this year.

The country’s largest company by assets plans to sell $660 million of dollar-denominated bonds and then swap them into yen-denominated bonds to refinance them in an attempt to lower interest costs. Separately, it and its six affiliates will borrow about 1.2 trillion won ($910 million) from the Korea Development Bank to finance power plant construction.

Ratings agency Fitch said it has raised its rating on Kepco to BBB+, with the credit outlook set at positive.