The Bank oversaw the arrangement of the syndicated loan provided to Green River Holding Co. Ltd. (Green River) and has successfully raised the required funds. The loan was oversubscribed by 108% by all the participating banks, ending in the final amount of US$195 million; the syndicated loan agreement was signed on May 4, 2022.
The funds raised in this case is for repaying loans from financial institutions and corporate bonds issued in 2017, and to increase Green River’s working capital. The Bank acts as the lead bank, while Bank of Taiwan, Hua Nan Commercial Bank, Taiwan Business Bank, and Chang Hwa Bank serve as the participants in this three-year syndicated loan for a total amount of US$195 million. It is obvious that all banks have recognized and affirmed the company's long-term operations in a pragmatic manner.
Green River started with the processing of natural rubber solid wood panels. As it is optimistic about the development potential of the melamine faced chipboard (MFC) market, it has realized that the production of MFC can increase the use efficiency of wood. It also enjoys the advantage of accessing raw materials as Thailand is the richest in rubber wood resources. The company, with its excellent corporate management and technical advantages, has transformed itself into a business engaging in the automated production of MFC, and has now become the first Thai foreign-funded enterprise in Asia that produces both MFC and solid wood panels. MFC products are widely used, mainly adopted in system furniture, kitchen and bathroom furniture, green buildings, and eco-friendly composite building materials. The company recycles rubber wood scraps (roots, bark, etc.) that are originally used as fuel to make MFC, to recycle and reuse resources, and achieve green and sustainable development of the natural environment. Meanwhile, the ESG concept has been actively promoted in the production processes in recent years. In addition to adopting the latest low-energy consumption continuous press machines, it is the first MFC company in Southeast Asia that has adopted the wet electrostatic precipitator (WESP). The company also purifies and recycles the dust and exhaust gas that may be emitted from the production process, so its dust emission is significantly lower than the local standard in Thailand. The dust recycled and purified can also be used as fuel, thereby reducing the environmental pollution caused by the use of fossil fuels. It is clear that the company proactively responds to environmental issues and global concerns.
The Bank has been actively engaging in business transformation. In addition to the original core business in real estate, we continue to promote the financing business to respond to the 5+2 Key Innovative Industries Policy, the New Southbound Policy, the Urban Renewal Policy, and the Old and Dangerous Building Reconstruction Policy. In addition, the Bank has vigorously promoted the financing business for the green energy industries to work with green and sustainable development industries to jointly create new momentum for economic growth. In the future, the Bank will continue to develop the business with a proactive, stable and diversified approach to become an excellent financial institution.