By the end of the third quarter of 2020, Techcombank has recorded a year-to-date profit before tax of VND10.7 trillion, a 20.9 per cent year-on-year growth from 2019. — Photo courtesy of Techcombank

The US$500 million syndicated term loan of Techcombank was named “Best syndicated loan” in Viet Nam in 2020 by The Asset.

The loan facility was signed on April 17, 2020 with United Overseas Bank (UOB) as the co-ordinator and facility agent, and ANZ, CTBC Bank, First Abu Dhabi Bank, Taishin Bank as mandated lead arrangers, underwriters and bookrunners.

Originally sized at $300 million, Techcombank’s inaugural offshore syndicated loan was launched in mid-February 2020 as part of its funding plan. Resting on the bank’s preeminent stature, strong brand and impressive business growth in recent years, the facility received an enthusiastic response from the international syndication market. To accommodate the oversubscription from over 24 financial institutions from Australia, China, India, Singapore, Taiwan and United Arab Emirates (UAE), the facility amount was raised to $500 million. The loan has become the largest syndicated loan to banks in Viet Nam and the second largest in Southeast Asia in 2020 despite the market turmoil due to COVID-19.

“We are proud of the “Best Syndicated Loan” award announced by the Asset – one of Asia’s leading financial magazines – for Techcombank’s first successful syndicated loan transaction of $500 million. The award attests to the international confidence in the bank and its impressive achievements in recent years. Techcombank’s strong standing enables us to support our customers to the fullest and weather external challenges in the troubled COVID-19 time,” said Jens Lottner, Techcombank CEO.

By the end of the third quarter of 2020, Techcombank has recorded a year-to-date profit before tax of VND10.7 trillion, a 20.9 per cent year-on-year growth from 2019, meeting 82.4 per cent of full year targets for 2020 set by the bank’s shareholders. Despite the slowdown in economic activities and GDP growth in 2020 due to COVID-19, Standard & Poor’s (S&P’s) affirmed its “BB-"/stable/B rating for Techcombank. The bank’s extensive network and impressive profitability and capitalisation in the industry are core to its rating, stated S&P’s. Its deposit base also remains stable thanks to its strong brand and coverage. — VNS