- Region: The Middle East
- Manufacturing and Services
- Mid-tier Enterprises and Small and Medium-Sized Enterprises(SMEs)
- Overseas Investment Loans
November 13, 2014
The Japan Bank for International Cooperation (JBIC; Governor: Hiroshi Watanabe) signed on November 12 a loan agreement totaling up to EUR4.2 million (JBIC portion) with SANGO OTOMOTIV URUNLERI SANAYI VE TICARET ANONIM SIRKETI (STI), a Turkish subsidiary of Sango Co., Ltd. (SANGO; Head Office: Aichi Prefecture; President: Kozo Tsunekawa). The loan is cofinanced with The Bank of Tokyo-Mitsubishi UFJ, Ltd.
The loan is intended to finance the manufacturing and sales business of automotiveparts being conducted by STI in Kocaeli Province, Turkey, by funding the expansion of its production facilities.
SANGO, which started business in 1928, is a long-standing mid-tier enterprise having strength in metal processing technologies for various metal stamping and pipe products, and manufacturing and selling automotive exhaust system parts for major automobile manufacturers. In March 2002, SANGO established STI in Turkey where an increase in domestic demand bolstered by economic growth and further increase in export volumes of automobiles to Europe are expected with an intention to expand a greater market share by strengthening its production structure. Thus, this loan will support the overseas business deployment of SANGO and thereby contribute to maintaining and strengthening the international competitiveness of Japanese industries.
As Japan's policy-based financial institution, JBIC will continue to support overseas business deployment of Japanese companies, including small and medium-sized enterprises (SMEs) and mid-tier enterprises in growing markets such as Turkey, by drawing on its various financial facilities and schemes for structuring projects, and performing its risk-assuming function.