Standardizing corporate management activities to meet international governance standards, TTC AgriS has established a strategic relationship with leading financial institutions and embraced green financing.
Thanh Thanh Cong - Bien Hoa Joint Stock Company (TTC AgriS, HOSE: SBT) has officially completed the final stage of signing a commercial funding agreement with the International Finance Corporation (IFC) and Sumitomo Mitsui Banking Corporation (SMBC) on the morning of June 16, 2023, at GEM Center, Ho Chi Minh City, witnessed by senior leaders from TTC AgriS, IFC, and SMBC.
TTC AgriS, IFC, and SMBC leadership during the signing ceremony on June 16, 2023.
Under the agreement, IFC and SMBC will jointly provide commercial funding for TTC AgriS, with a total loan amount of 40 million USD. The funds raised from this transaction will be used by TTC AgriS to support its production and business operations, enhance production capacity, and expand market reach in line with the company's cooperation orientation with professional investors and strategic development.
This funding agreement is part of IFC's Global Warehouse Finance Program (GWFP) and specifically aims to stimulate the local warehouse finance market in Vietnam, a market in a new development phase. This funding source will also encourage local banks to participate in the agricultural value chain to optimize opportunities for agricultural financing in this high-potential sector. It is worth noting that TTC Agris is the first company in Vietnam that IFC has shown interest in and prioritized long-term cooperation within this funding program.
Mrs. Dang Huynh Uc My, Vice Chairlady of the Board of Directors of TTC AgriS, stated, "This financing solution will serve as a premise for TTC AgriS to receive loans by using raw materials as collateral. This will enable us to be more proactive and flexible in purchasing, storing, and distributing raw materials and goods, aiming for an optimized system to achieve the highest efficiency. We believe that the collaboration with IFC and SMBC will be an essential part of TTC AgriS's circular economy development strategy."
The cooperation between IFC, SMBC, and TTC AgriS demonstrates that TTC AgriS has fully met the rigorous comprehensive approval standards of both partners, from corporate governance framework to sustainable development and sound business strategy. As a leading multinational agricultural enterprise in Vietnam, TTC AgriS has always been at the forefront of upgrading and standardizing its corporate management system on a sustainable development platform, applying ESG standards to all governance, production, and business activities, and ensuring absolute compliance with obligations to relevant parties and transparent information disclosure.
Leading the Plant-based Food Trend, Creating a Comprehensive Nutritional Value Chain
On June 16, 2023, TTC AgriS organized the TTC AgriS Innovation Day 2023, marking the beginning of an annual event series initiated by TTC AgriS since 2023. This event represents a significant milestone in TTC AgriS's over 50-year development journey, aiming to:
- Establish a platform for agricultural science and technology-economic activities, with a focus on the economic aspect of sustainable agricultural development;
- Orient the market and product development towards a transition from a production-oriented mindset to an economic-oriented mindset;
- Build relationships among Farmers - Producers - Traders, with TTC AgriS playing a vital role as a connecting link;
- Affirm the role and benefits of optimizing the value chain in agricultural production; and
- Strengthen its position as a sustainable development enterprise, leading green agricultural trends such as zero discharge, increasing organic product/ingredient areas, and achieving net-zero emissions.
The TTC AgriS Innovation Day 2023 event took place on June 16, 2023, at GEM Center in Ho Chi Minh City
After the Covid-19 pandemic, consumer habits have been constantly shifting, accompanied by impacts from climate change and the risk of food crises. This has led to the emergence of Plant-based food, also known as "food derived from plants," as a global trend that is increasingly prevalent in comprehensive nutrition value chains.
As a sustainable high-tech agricultural enterprise, TTC AgriS quickly pioneered participation in the Plant-based food processing industry to enhance its ecosystem of products and services, market orientation, and anticipation of customer needs. The company sets strict criteria for the nutritional value provided to promote sustainable daily dietary choices for consumers.
The TTC AgriS Innovation Day 2023 event attracted the attention of numerous industry experts in the fields of nutrition, food production, and processing.
Through this event, TTC AgriS aims to increase consumer awareness of sustainability and the values of Plant-based food, unlocking responsible, comprehensive, and sustainable Plant-based nutrition solutions.
IFC is recognized as one of the world's leading financial institutions in private investment and sustainable investing, with highly selective standards.
SMBC is a top global financial institution and a core member of the Sumitomo Mitsui Financial Group (SMBC Group). It is one of Japan's largest banks with total assets exceeding JPY 238.7 trillion (~USD 1.748 trillion). SMBC also maintains a high credit rating and operates an extensive global network spanning 39 countries and regions.
