KKR boosts yen bond sale by a third to $377 mln - sources

TOKYO, March 15 (Reuters) - KKR & Co has raised 40.3 billion yen ($377 million) through its first yen bonds, with healthy demand from Japanese investors helping it garner a third more than its targeted sum, bankers involved in the deal told Thomson Reuters DealWatch.

Investors were attracted to KKR's bonds because of its investment track record in Japan, said the bankers, who asked not to be identified because they were not authorized to speak to media.

The U.S. private equity firm had initially aimed to sell 30 billion of the yen bonds maturing in five, seven and 20 years.

Buyers of the bonds included Japan's major banks, trust banks, insurers and regional banks, according to the bankers.

KKR priced the five-year, 25 billion yen bonds to yield more than 35 basis points over the yen swap rate, according to a term sheet from one of the underwriters for the bonds.

The seven-year, 5 billion yen bonds were priced to yield more than 55 basis points over the yen swap rate, while the 20-year, 10.3 billion yen bonds were priced to yield over 90 basis points over the yen swap rate.

KKR said in a statement that it priced the bonds, adding that the five-year bonds carry 0.509 percent coupon, the seven-year bonds 0.764 percent coupon and the 20-year bonds a coupon of 1.595 percent.

Mizuho Securities and SMBC Nikko Securities Inc managed the sale. ($1 = 105.9800 yen) (Reporting by Hiroko Yoneda Writing by Junko Fujita Editing by Muralikumar Anantharaman)