Individual Agreement Based on Credit Line for MUL Subsidiary in Thailand
Supporting Overseas Business Deployment of SMEs by Promoting Finance Leases

• Region: Asia
• Manufacturing and Services
• Mid-tier Enterprises and Small and Medium-Sized Enterprises(SMEs)
• Overseas Investment Loans

1. The Japan Bank for International Cooperation (JBIC; Governor, CEO: Hiroshi Watanabe) signed today a loan agreement in the amount of up to approximately USD595 thousand (JBIC portion) with Bangkok Mitsubishi UFJ Lease Co., Ltd. (BMUL), a Thai subsidiary of Mitsubishi UFJ Lease & Finance Company Limited (MUL). This is an individual loan agreement based on a credit line^*1 for supporting the overseas business deployment of Japanese mid-tier enterprises and small and medium-sized enterprises (SMEs), previously signed with BMUL. The loan is cofinanced with a private financial institution, bringing the total cofinancing amount to approximately USD875 thousand.
    
2. This loan will secure funding from BMUL in lease financing for the facilities required to conduct the automotive parts manufacturing and sales business of HAL ALUMINUM (THAILAND) CO., LTD., a Thai subsidiary of HIROSHIMA ALUMINUM INDUSTRY CO., LTD. (Headquarters: Hiroshima prefecture).
    
3. In recent years, Thailand has seen an increasing number of Japanese companies enter the market, with Japanese mid-tier enterprises and SMEs also showing a growing appetite for investment in the country. Accordingly, interest and demand for finance leases for capital investment by these mid-tier enterprises and SMEs are growing. The loan under the credit line will flexibly provide long-term foreign currency funds for finance leases required for the business operations of such companies in Thailand, and thus support the overseas business deployment of Japanese mid-tier enterprises and SMEs, thereby contributing to maintaining and strengthening the international competitiveness of Japanese industries.
    
4. As Japan's policy-based financial institution, JBIC will continue to support the overseas business deployment of Japanese mid-tier enterprises and SMEs, with a view to maintaining and strengthening the international competitiveness of Japanese industries.

Note

1. *1 See Press Release on April 1, 2014.