Vietcombank to finance power firm

Tuesday, Jul 14, 2015 20:58


Representatives of Vietcombank and Power Construction JSC No. 1 signed a cooperation agreement last week. -- Photo

HA NOI (Biz Hub) — Vietcombank and Power Construction JSC No. 1 have signed contracts worth nearly VND2 trillion (US$91.74 million) as part of a cooperation agreement they concluded last week.

The bank will provide the company VND890 billion ($40.82 million) in a long-term loan to invest in the Bao Lam 3 hydroelectric project and VND1 trillion ($45.87 million) in short-term funding.

The firm will use various services provided by the bank, including provision of guarantees, money management, financial consultation and bond issuance, besides sourcing foreign currency from it for foreign trade.

The company's chairman, Trinh Van Tuan, said it will strive to become one of the leading developers of power sources in Viet Nam by 2020. It also aims to be one of the top EPC (engineering, procurement, construction) contractors for industrial works in Southeast Asia by that time.

"Strong financial resources are vitally needed for our success," he said.

The Ha Noi-based company plans to achieve a turnover of $1 billion by 2025. Besides power projects and hydropower investment, it also deals in industrial production, real estate and consultancy. — VNS

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