Goertek Vietnam Loan

pending

The proposed investment is a long-term loan package of up to US$700 million to Goertek Technology Vina Company Limited and Goertek Precision Industry Vietnam Company Limited (together the “Borrowers”, the “Company”, or “Goertek Vietnam”) in Vietnam, which are fully owned by Goertek Inc. (“Geortek”). Goertek Inc. is a global leading manufacturer of acoustic components and audio consumer electronic products (e.g. earphones, smart watches, and loudspeakers), headquartered in Weifang, Shandong Province, China, and listed on the Shenzhen Stock Exchange. IFC’s investment will support: (i) the expansion of an existing production base in Bac Ninh, Vietnam, located within the Que Vo industrial park; and (ii) the construction of a new greenfield production base in Nghe An, Vietnam located within the WHA 1 Nghe An Industrial Park (together, the “Project”). Both facilities will be engaged in export-oriented production of acoustic electronics equipment. The Borrowers’ existing production facility at Bac Ninh started operating in 2013 and currently has a workforce of about 35,000 employees. The Project facilities are expected to add a further headcount of up to 40,000 employees. Pre-construction activities at the expansion Bac Ninh facility started in Q3 2020, and early construction activities at the greenfield Nghe An facility commenced in Q1 2021.