【Micro Focus】Industrial Bank Qingdao Branch Supports the Integration of the Real Economy Industry Chain

（Source: Qingdao Finance）

Recently, the Industrial Bank Qingdao Branch successfully issued its first cross-border RMB acquisition and merger loan for a major asset restructuring and M&A involving a private enterprise. The loan provided a funding support of RMB 40.09 million in cross-border terms for a high-quality listed company in the local area. The loan term is as long as 7 years, and it is specifically used to support the enterprise’s acquisition of the core equity interests in upstream raw material suppliers.

The successful implementation of this business not only marks a new breakthrough in the professional service capability of the Industrial Bank Qingdao Branch in the field of acquisition and merger financing for listed companies, but also represents a key practice of its deep implementation of the “commercial bank + investment bank” strategy and the use of cross-border financial tools to help integrate real-economy industry supply chains.

To accurately match the cross-border acquisition needs with a total consideration of approximately RMB 70 million, the Industrial Bank Qingdao Branch ran the “accelerator” for financial services. It set up a dedicated task team and deeply involved itself in the transaction process, tailoring a long-term financing solution for the enterprise. The team closely tracked the regulatory approval timeline for major asset restructuring and completed the end-to-end process from due diligence to credit approval within an extremely short period of time. This long-term allocation of funds for 7 years precisely fits the enterprise’s long-term development plan, effectively alleviating the initial cash-flow pressure during the asset integration phase, and providing critical support for the enterprise to achieve independent procurement of raw materials and reduce production costs.

Under a compliant and prudent premise, the Industrial Bank Qingdao Branch regards acquisition and merger financing as an important lever for nurturing new quality productive forces. Complying strictly with the new regulatory requirements issued by the National Financial Regulatory Administration for the management of commercial bank acquisition and merger loans, while ensuring that the loan amount as a proportion of the transaction consideration stays within the regulatory ceiling, the bank also fully leverages its professional strengths in control-oriented acquisition and merger loans. After the acquisition is completed, the capacity of the borrowing enterprise’s core products will be highly aligned with business needs, further consolidating its competitive advantages within the industry and injecting new momentum into the optimization and upgrading of the regional industrial structure.

Next, the Industrial Bank Qingdao Branch will continue to deepen its focus on the acquisition and merger financing market and further implement the “commercial bank + investment bank” strategy. Relying on a diversified financial services system, the branch will concentrate on core needs such as improving the quality and efficiency of listed companies and optimizing industry and supply chains. It will continuously innovate integrated financial products such as cross-border M&A and equity financing, providing solid financial support for more enterprises’ resource integration and strategic expansion, and helping regional economic high-quality development reach a new level.

Source: Qingdao Daily

A wealth of information and precise analysis—only on the Sina Finance app