Deutsche Bank has provided a €20m export credit agency (ECA)-backed financing facility to Mando Corporation’s Polish subsidiary to expand its manufacturing operations.
Mando, headquarted in Seoul, is one of South Korea’s leading automotive parts manufacturers, producing parts such as steering, brake and suspension systems.
Deutsche Bank acted as the sole mandated lead arranger for the 10-year term loan provided to Mando Poland, with full cover from Korea Trade Insurance Corporation (K-sure). Mando Poland’s parent company has provided a corporate guarantee for the facility.
The proceeds will be used to finance the expansion of Mando Poland’s production plant in Walbrzych, Poland, which specialises in the manufacturing of suspensions, column type electric power steering systems, electronic stability controls and callipers.
“We are delighted to have been chosen by Mando Poland for their first ECA-backed financing facility,” said Kaushik Shaparia, Asia Pacific head of trade finance and cash management corporates, global transaction banking at Deutsche Bank.
“This type of financing facility has become an attractive long-term alternative source of funding for many corporates in Asia. We are committed to this business and to helping more Asian companies like Mando to grow their business using innovative financing solutions.”