SET-listed Indorama Ventures Plc (IVL), a leading manufacturer of polyester and plastic packaging material, has clinched Thailand's first green loans from Japan's Mizuho Bank.
The loans, for US$100 million and €100 million, are being provided in the form of positive incentive loans, in which the commercial terms are linked to the improvement in IVL's ESG (environment, social and governance) rating.
"IVL is emphasising its fiscal responsibility as well as sustainability to bring green finance to Thailand," said Sanjay Ahuja, chief financial officer of IVL.
Aloke Lohia, IVL's chief executive, said the company targets becoming the leading global chemical conglomerate by 2023. Three businesses with high growth potential include packaging, speciality chemicals and olefins, he said.
In 2019 IVL aims for revenue of $14 billion, representing 35% year-on-year growth, with Ebitda (earnings before interest, tax, depreciation and amortisation) projected at $1.75 billion, or a 30% year-on-year increase.
In 2018, IVL posted total revenue of $10.7 billion, up 27% year-on-year, with a core Ebitda of $1.44 billion, up 44% year-on-year. Net profit for the period was $819 million, up 33% year-on-year.
IVL also recorded the most acquisitions in its history last year, with 12 new companies and three joint ventures.