ADATA Technology has successfully secured a NT$10 billion sustainable syndicated loan, demonstrating robust confidence in the memory sector’s prospects, particularly with the anticipated boom in artificial intelligence (AI) applications. The loan, which saw an overwhelming response from the financial sector, was originally targeted at NT$7.5 billion but was oversubscribed by 2.4 times, reaching NT$18 billion due to strong bank interest.
The loan was co-organized by the Bank of Taiwan, First Bank, and Cooperative Bank, with additional sponsorship from Mega Bank and participation from several other financial institutions including Land Bank, South China Bank, and Yuanta Bank, among others. This financing initiative is primarily aimed at repaying previous borrowings and bolstering ADATA’s medium-term operational capital.
In a significant move towards sustainability, the loan incorporates performance-linked sustainability criteria such as greenhouse gas emissions and hazardous waste recycling rates. Achieving these benchmarks will qualify ADATA for interest rate reductions, underscoring the company’s commitment to sustainable operations.
The signing ceremony, held at the Bank of Taiwan and led by ADATA’s Chairman Chen Libai and the Bank of Taiwan’s Chairman Lu Jucheng, also highlighted ADATA’s strategic positioning. The company is poised to launch advanced AI-related products across various sectors including PC, mobile, industrial control, and servers in the coming years, aiming to capitalize on the expanding memory demands of the AI industry.
With this financial backing and strategic foresight, ADATA is well-positioned to enhance its market share and continue its growth trajectory in the rapidly evolving tech landscape.
