Masan receives $750mil unsecured loan from 15 international banks
Masan Group Corporation has got a US$750 million underwritten, senior unsecured syndicated loan facility for six years tenor at a 1.8 per cent interest rate.
HCM CITY — Masan Group Corporation has got a US$750 million underwritten, senior unsecured syndicated loan facility for six years tenor at a 1.8 per cent interest rate.
It is the largest and most competitively priced international corporate borrowing of its tenor for a Vietnamese private enterprise.
Danny Le, CEO of Masan Group, said: "When 15 international banks lend to Masan unsecured at 1.8 per cent – down from 3.5 per cent secured three years ago – they are pricing the durability of our future cash flows.
“Those cash flows compound across our consumer operating system: WinCommerce as the retail engine, and our brand engine, Masan Consumer and Masan MEATLife, converting that reach into a growing share of the daily wallet.
“Rising tungsten value and criticality add further optionality on top. Our credit has been re-rated, and our equity value will follow."
According to the company, the participation of 15 banks demonstrates strong interest from the international financial community.
It will allocate US$490 million for refinancing existing obligations and US$260 million as reserve for contingency.
The loan reduces its short-term refinancing pressure, and saves some US$4.4 million in interest per year.
The reserve will also allow Masan to preserve optionality while remaining committed to its medium-term deleveraging objective, supported by net debt-to-earnings improving from 3.9 in 2023 to 2.84 last quarter. — VNS
