ECONOMYNEXT – Sri Lanka’s Hatton National Bank said it had participated in a billion dollar sustainability-linked syndicated term loan for Singapore-based Aster Chemicals & Energy Pte Ltd.
DBS Bank and Oversea-Chinese Banking Corporation Limited (OCBC) served as mandated lead arrangers, underwriters, and bookrunners, and as sustainability coordinators, the bank said.
“This transaction reflects HNB’s strategic ambition to drive high-impact, cross-border financing that supports global sustainability goals,” HNB, Senior Vice President and Head of Corporate Banking, Manojith Weerasuriya said in a statement.
“Partnering with leading international institutions strengthens our commitment to creating lasting value through responsible banking and innovative financial solutions.”
Aster, Chemicals & Energy is a joint venture majority-owned by Chandra Asri Group with Glencore as the minority partner, HNB said. It runs a crude oil refinery and ethylene cracker in Pulau Bukom, together with downstream chemical facilities in Jurong Island.
The proceeds from the facility are linked to reductions in greenhouse gas emissions intensity, and will be used for general corporate purposes, including rejuvenation projects for Aster’s assets on Pulau Bukom and Jurong Island.
“Our participation in this landmark transaction underscores HNB’s deep commitment to fostering sustainable and responsible financing,” HNB, Senior Vice President / Head of Wholesale Banking Majella Rodrigo said in a statement.
“We take pride in joining hands with our global partners to champion sustainability linked initiatives that strengthen both environmental stewardship and long-term economic resilience.”
The volumes of HNB’s subcription was not disclosed.
Participating lenders in the syndicated loan included Clifford Capital, Mizuho Bank Ltd., PT Bank Mandiri (Persero) Tbk, PT Bank Negara Indonesia (Persero) Tbk, Singapore Branch, PT Bank Rakyat Indonesia (Persero) Tbk, Singapore Branch, Bangkok Bank PCL, First Abu Dhabi Bank PJSC (FAB), Indonesia Eximbank and Standard Chartered Bank.
The original 700 million dollar facility was upsized to 1,000 million dollars after oversubscription, HNB said. (Colombo/Oct09/2025)