04:39 (GMT +7) - Sunday 26/09/2021

Banking & Finance

Novaland Group obtains $30mn syndicated loan

Released at: 09:51, 26/05/2017

Novaland Group obtains $30mn syndicated loan

Photo: Viet Tuan

Loan comes from Malaysia's Maybank and VietinBank Filiale Deutschland.

by Hong Nhung

Novaland, one of Vietnam’s leading property developers, has received a syndicated loan from two foreign banks - Maybank in Malaysia and VietinBank Filiale Deutschland (VietinBank’s branch in Frankfurt, Germany) - in which Maybank is the main lender.

The $30 million loan has a 30-month term.

Disbursed in April, the loan immediately went to the group’s ongoing projects in order to ensure the progress and quality committed to with customers and to continue strengthening shareholder and investor trust in the group.

Similar to foreign loans previously raised from Credit Suisse and GW Super Nova, to receive approval for this loan the Novaland Group had to demonstrate strong financial strength, clear planning, and the development potential of its projects.

The first loan with Maybank has a competitive interest rate, helping Novaland diversify its capital resources, especially in international capital markets, and at the same time shows the interest among international financial institutions in the group.

In the past 25 years of cooperation with local and international financial and banking institutions, Novaland has always followed the principles of cooperation, repaying loans on time and sometimes before maturity.

In order to maintain the group’s credibility among financial and credit institutions, Novaland adheres strictly to financial and operational controls through a system of commitments, especially an index on repayment capacity or a leverage ratio in business operations.

This effort contributes to strengthening confidence among foreign investors and maintaining the image of a transparent company in international capital markets. This is also a key reason why Novaland received rapid loan approval from Maybank and VietinBank Filiale Deutschland and a previous convertible loan deal with Credit Suisse, one of Switzerland’s largest banks.

Maybank is the largest financial and banking group in Malaysia, with a history of nearly 60 years, and has expanded its business to many countries around the world, such as the Philippines, Singapore, Indonesia, Thailand, Vietnam, the UK and the US.

VietinBank Filiale Deutschland is the German branch of the Vietnam Joint Stock Commercial Bank for Industry and Trade (VietinBank). It is also the only Vietnamese bank operating in Europe and a member of the Association of Banks in Germany and the Deposit Insurance Fund of Commercial Banks.

User comment (0)

Send comment