Home Credit wins FinanceAsia's ‘Best Việt Nam Deal' award. — VNS Photo

HCM CITY (Biz Hub) — FinanceAsia, one of the most prestigious and biggest publications in the finance – banking sector in Asia, has conferred the 2015 "Best Viet Nam Deal" award on Home Credit Viet Nam.

It was granted for a loan contract between the company and three other foreign banks. The US$50-million syndicated loan with a tenor of three years was extended by Credit Suisse AG's Singapore branch, MayBank's Labuan branch in Malaysia, and VietinBank's Germany branch.

According to FinanceAsia, foreign banks funding a foreign-owned finance company in Viet Nam is a precedent-setting first-time deal in the country.

Finance companies like Home Credit usually rely on their parent company for funding, but this time Credit Suisse structured a security collateralisation of Home Credit's domestic assets, allowing it to borrow from domestic banks having overseas branches, like VietinBank, which was never previously possible for consumer finance companies under local laws.

FinanceAsia said though relatively small at $50 million compared with other submissions in this category, the innovative transaction provides a new source for consumer finance companies in Vi?t Nam to raise funds.

It is for this reason that it chose Home Credit Viet Nam for the award, it said.

In the Asian region, this year FinanceAsia gave the Best Deal award to 10 institutions in 10 markets including China, Hong Kong, Singapore, Thailand, and the Philippines. — VNS