Hanoi-headquartered chemicals and plastic materials supplier Stavian Chemical has secured its maiden offshore syndicated loan amounting to US$100 million to fuel its business growth.
Standard Chartered acted as the sole mandated lead arranger and bookrunner on the transaction.
The company, one of the world’s largest chemical distributors, tapped on the full US$50 million greenshoe option to upsize the facility to US$100 million.
“Being client-focused, we leverage our in-depth industry knowledge and international expertise to deliver solutions that meet the evolving needs of our clients,” says Standard Chartered Vietnam CEO Nguyen Thuy Hanh.
The bank has advised Stavian Chemical on the financing structure and strategized on the market approach to raise the amount. It worked with the company to prepare a detailed information pack, organize a site visit, and manage the due diligence process with the lenders.
Diversified funding sources
With the US dollar syndicated loan, the company, which is also a leading biodegradable plastic packaging manufacturer, has been able to diversify its funding sources and obtain financing that acts as a natural hedge to its business primarily denominated in foreign currencies.
In September 2023, the northern Vietnamese province of Quang Ninh, which borders China, granted a polypropylene (PP) production technology transfer certificate to Stavian Quang Yen Petrochemical JSC, allowing it to establish a US$1.5 billion petrochemical complex.
Scheduled to start operations by the fourth quarter of 2026, the 30-hectare facility is designed to supply 600,000 tonnes of PP, a kind of polymer, annually.
In March this year, Stavian and Japanese general trading company Sojitz Corporation signed a strategic partnership agreement on forest development and wood chips, energy, decarbonization, paper pulp and chemicals businesses.
Sojitz and Vietnam’s largest dairy corporation Vinamilk are jointly developing a US$500 million complex on a 76-hectare site in Vinh Phuc province bordering Hanoi that will raise cows and supply beef to northern Vietnam. The beef is expected to reach the market this December.
