Company Briefs: Tan Chong International

Tan Chong International

Vehicle distributor Tan Chong International recorded a 163 per cent jump in net profit to HK$501.92 million (S$83.8 million).

The boost in the bottom line came despite a 5.3 per cent drop in revenue to HK$15.9 billion for the year ended Dec 31, mainly due to sales volume decline in its motor vehicle distribution and retail division.

Both Singapore and China markets experienced slowdowns, Tan Chong added, while Taiwan and the Philippines enjoyed healthy growth.

Profit from operations increased by 38 per cent to HK$952.2 million.

Earnings per share stood at 25 Hong Kong cents, up from nine Hong Kong cents in 2016.

Tan Chong's board is proposing a final dividend of 8.5 Hong Kong cents per share.

Olam International

Commodities firm Olam International said it has secured a three-year sustainability-linked revolving credit facility of US$500 million (S$655 million).

Under the facility, Olam would need to meet improvement targets for a "comprehensive range" of environmental, social and governance (ESG) metrics. These will be assessed by Sustainalytics, an ESG and corporate governance research and ratings firm. If the annual ESG targets are hit, the interest rate on the facility will be subsequently reduced.

This is Asia's first sustainability-linked club loan, with participation from 15 banks.

Olam co-founder and group chief executive officer Sunny Verghese said: "This is a good example of how sustainable companies can become more successful and of how we can 'do good' and 'do well' at the same time."

Ho Bee Land

Property developer Ho Bee Land has agreed to invest up to €40 million (S$65 million) in Credit Suisse (Lux) European Property Fund II.

It has also committed to co-invest up to an additional €50 million by acquiring notes issued by a securitisation company called Clouse SA, Compartment 29.

The fund invests in real estate and investment structures in key cities in Europe.

As for Clouse SA, it is a public limited liability company set up in Luxembourg. The notes are issued through private placement, and the proceeds will be invested in a commercial building complex of about 45,000 sq m next to the main railway station in Munich, Germany.

A version of this article appeared in the print edition of The Straits Times on March 27, 2018, with the headline 'Company Briefs'. Print Edition | Subscribe