Thursday, July 7, 2011

ZTE Secures US$900 Million Syndicated Loan to Hedge Rise in RMB

ZTE has secured a US$900 million syndicated term loan from 10 leading international banks. ZTE said that raising the debt in US dollars is an effective way to hedge against the appreciation of RMB.

The banks participating in the loan are:

Bank of China (Hong Kong) Limited

DBS Bank Ltd.

United Overseas Bank Limited

Banco Santander, S.A., Hong Kong Branch

The Bank of Tokyo-Mitsubishi UFJ, Ltd.


Hang Seng Bank Limited

Maybank, Hong Kong Branch

China Construction Bank Corporation, Hong Kong Branch

The Bank of Nova Scotia

  • In May 2009, The Export-Import Bank of China (China Exim Bank) granted a US$10 billion credit line to ZTE Corporation. Under the cooperation agreement, ZTE and China Exim Bank joined together to establish a financing platform to support ZTE and its holding subsidiaries in overseas market activities including export seller's credit, export buyer's credit, import credit, preferential foreign loans, transferred loans of foreign governments and trade financing, as well as other premium financial services. ZTE agreed to deal with China Exim Bank as a principal banker and handle loans and relevant businesses through China Exim Bank.

See also