Vietnamese property firm Phu My Hung gets $75m financing from IFC

International Finance Corporation (IFC), a member of the World Bank Group, said it is providing a financing package of $75 million to Vietnam-based real estate firm Phu My Hung Development Corporation to help sustain its operations in the wake of the COVID-19 pandemic.

The investment will allow Phu My Hung to extend financial relief to its clients, suppliers and contractors along its property value chain, “helping preserve jobs and contributing to a resilient local economy”, IFC said in a statement.

This bond marks IFC’s first COVID-19 response project in Vietnam. It comes under the Real Sector Crisis Response Facility, which will provide $2 billion globally to IFC’s existing clients in healthcare, infrastructure, manufacturing, agriculture and services industries to cope with the pandemic.

IFC has set aside $8 billion for COVID-19 fast-track financing to support the private sector and preserve jobs across the world.

The health crisis has disrupted the business of Phu My Hung’s clients, including lessees, homebuyers, suppliers and contractors.

Phu My Hung supplies housing mainly in Ho Chi Minh City and also leases office and retail space to more than 300 businesses, most of which are small and medium enterprises (SME).

“Leveraging IFC’s experience from past shocks, IFC aims to harness the private sector to limit economic damage. Supporting local businesses in times of crisis is crucial since they are the main drivers of employment in emerging economies,” said Vivek Pathak, IFC regional director for East Asia and the Pacific.

“IFC’s support, an effective response to help ensure resiliency, shows our confidence in local businesses as well as our commitment to restoring Vietnam’s economy to a sustainable growth path post-pandemic,” he added.

The loan for Phu My Hung came nearly a year after IFC subscribed to a 1.7-trillion-dong ($75-million) bond issuance by the Vietnamese firm. The proceeds were said to be primarily used to develop an integrated township in northern rural Hoa Binh province.

Phu My Hung’s housing projects in Vietnam’s secondary provinces aim to improve local residents’ access to quality housing as well as education and health-care services, IFC said.

Earlier this month, the World Bank Group’s private lending arm also proposed a $40 million financial package for Vietnamese commercial lender OCB, in order to support the bank’s trade-related lending program to SME in Vietnam who are affected by COVID-19.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

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  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.