Thanaleng Dry Port

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The project involves the development of Thanaleng Dry Port, located in the Hadxayfong and Saysettha Districts in Vientiane, Laos. The port is part of the country's first-ever integrated Vientiane Logistics Park. In July 2020, the government of Lao awarded a 50-year BOT concession to Vientiane Logistics Park Co. Ltd (VLP), a special purpose subsidiary established by the sponsor, Sitthi Logistics Company Limited, to develop the integrated logistics park in Vientiane, which includes development of a brownfield dry port and a multi-service logistics park. The dry port will be developed through a separate SPV - Thanaleng Dry Port Sole Co. Ltd, which is a subsidiary of VLP. The total project cost of the dry port project is $91.5 million and will be funded with equity and a $67 million financing package from IFC and international commercial banks.The debt consists of: (1) IFC's own account investment of $26.1 million including (A Loan and subordinated C- Loan); (2) IFC B Loans / Parallel Loans of up to $21 million; and (3) subordinated debt of up to $21 million from the IDA Private Sector Window Blended Finance Facility. IFC's financing will be used for the dry port only. The project has been partially operational since December 2021 and is expected to be fully operational by second quarter of 2022. Financial close was achieved on 7 June, 2022. https://disclosures.ifc.org/project-detail/SII/45865/vlp-dry-port https://pressroom.ifc.org/all/pages/PressDetail.aspx?ID=27019