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Banking industry

Taiwan High Speed Rail Secures Second Syndicated Loan Worth $1.24 Billion

Strategic Insights

— 1 min read

Taipei, a major victory for Taiwan High Speed Rail Corp. (THSRC), has been achieved with the signing of a second syndicated loan worth NT$40.7 billion ($1.24 billion) from a group of seven domestic banks. This significant financial boost comes after THSRC Chairwoman Nita Ing signed an agreement with representatives of the seven banks, including Ta Chong Bank, Fuhwa Commercial Bank, and Taipei Fubon Bank. The loan is seen as a major vote of confidence in the company's financial future, with construction on the 345-km high-speed railway nearing completion.

Key Takeaways:

  • THSRC has secured a second syndicated loan worth NT$40.7 billion ($1.24 billion) from seven domestic banks, including Ta Chong Bank, Fuhwa Commercial Bank, and Taipei Fubon Bank.
  • The loan is part of a larger financial package, which includes a contract with Deutsche Bank to issue $200 million in euro-convertible bonds by the end of the year.
  • THSRC has also secured a pledge from an international bank to grant the company a loan worth NT$20 billion ($609.4 million) before year's end.
  • The seven banks participating in the second syndicated loan are all private banks, unlike the previous syndicated loan which involved 24 local banks led by Chiao Tung Bank.
  • The loan is seen as a major vote of confidence in THSRC's financial future, with construction on the 345-km high-speed railway nearing completion.
  • THSRC Chairwoman Nita Ing has played a key role in securing the loan, signing an agreement with the seven banks and negotiating a contract with Deutsche Bank.

Statistics:

  • NT$40.7 billion ($1.24 billion) - the value of the second syndicated loan secured by THSRC
  • NT$20 billion ($609.4 million) - the value of the loan pledged by an international bank to THSRC
  • 7 - the number of domestic banks participating in the second syndicated loan
  • 345 km - the length of the high-speed railway being constructed by THSRC
  • 200 million - the value of the euro-convertible bonds to be issued by Deutsche Bank for THSRC
  • 2000 - the year in which THSRC secured its first syndicated loan worth $10 billion
  • 24 - the number of local banks involved in the previous syndicated loan led by Chiao Tung Bank

Sources:

  • Taiwan High Speed Rail Corp. (THSRC)
  • Ta Chong Bank
  • Fuhwa Commercial Bank
  • Taipei Fubon Bank
  • Taishin Bank
  • Bowa Bank
  • Bank of Overseas Chinese
  • China United Trust
  • Deutsche Bank
  • CNA (Central News Agency)

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