📋 Tender Overview
Project Number: 46500
Company Name: KES Group Corporation
Date ESRS Disclosed: Jan 5, 2024
Country: Viet Nam
Region: East Asia and the Pacific
Environmental Category: B
Status: Pending Approval
Sector: Wood Panels and Engineered Wood Products
Industry: Agribusiness and Forestry
Department: Regional Industry - MAS Asia & Pac
Project Description
KES Group ( KES or the Company ) is the largest Vietnamese producer of engineered wood panels, focusing on Medium-Density Fiberboard ( MDF ) and High-Density Fiberboard ( HDF ) (collectively MDF ), and a leading provider of innovative solutions for the construction and interior industry. Its operational footprint included two MDF factories ( MDF1 and MDF2 ) with total production capacity of 500,000 m3 per annum, one flooring factory with a production capacity of 6.5 million m2 per annum and one melamine paper printing and dipping factory with a production capacity of 40 million m2 per annum, all located in southern Vietnam (Binh Phuoc Province), including one greenfield glue factory/warehouse to be commissioned in Q2 2025 and located at MDF2, one new decorative panel factory to be commissioned in Q2 2024 and two new MDF factories (Kim Tin MDF Chon Thanh JSC ( MDF3 ) in Binh Phuoc Province to be commissioned in 2025 and Kim Tin MDF Dong Nai JSC ( MDF4 ) in Dong Nai Province to be commissioned in 2028). The glue factory at MDF2 with production capacity of 140,000 tons/year is considered an associated facility as per IFC PS1.
The proposed IFC corporate loan of up to US$60 million with specific use of proceeds will finance (i) working capital for MDF2; (ii) Capital Expenditures (CAPEX) and marketing expenses for the new distribution showrooms; (iii) CAPEX for the new warehouses at MDF2 and maintenance CAPEX for MDF1 and MDF2; and (iv) working capital for MDF1 and MDF2.
Financing Sources:
2) World Bank (WB)
1818 H Street, NW Washington,
DC 20433 USA
Tel : (202) 473-1000
https://www.worldbank.org/
