Scribd Logo
Upload

Welcome to Scribd!

  • 33 views

    Spiel DTBC

    Uploaded by

    CHRISTIAN HARVEY WONG
    Davao Thermo Biotech Corp. (DTBC) is requesting restructuring of outstanding loans totaling P99.01 million over 10 years. They are also requesting capitalization of interest charges and 100% waiver of penalties up to the implementation date. DTBC operates an organic fertilizer plant and provides waste management services. While construction was completed in 2016, delays in acquiring required technology impacted cash flow. However, DTBC was recently endorsed by the Davao City waste management board, which will provide wider business opportunities. The bank recommends approving the restructuring as it will improve DTBC's financial capacity over 10 years, reduce past due amounts, and support the mandated sector and government waste management regulations.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd

    Spiel DTBC

    Uploaded by

    CHRISTIAN HARVEY WONG
    33 views1 page
    Davao Thermo Biotech Corp. (DTBC) is requesting restructuring of outstanding loans totaling P99.01 million over 10 years. They are also requesting capitalization of interest charges and 100% waiver of penalties up to the implementation date. DTBC operates an organic fertilizer plant and provides waste management services. While construction was completed in 2016, delays in acquiring required technology impacted cash flow. However, DTBC was recently endorsed by the Davao City waste management board, which will provide wider business opportunities. The bank recommends approving the restructuring as it will improve DTBC's financial capacity over 10 years, reduce past due amounts, and support the mandated sector and government waste management regulations.

    Original Title

    Spiel Dtbc (2)

    Copyright

    © © All Rights Reserved

    Available Formats

    DOCX, PDF, TXT or read online from Scribd

    Did you find this document useful?

    Is this content inappropriate?

    Davao Thermo Biotech Corp. (DTBC) is requesting restructuring of outstanding loans totaling P99.01 million over 10 years. They are also requesting capitalization of interest charges and 100% waiver of penalties up to the implementation date. DTBC operates an organic fertilizer plant and provides waste management services. While construction was completed in 2016, delays in acquiring required technology impacted cash flow. However, DTBC was recently endorsed by the Davao City waste management board, which will provide wider business opportunities. The bank recommends approving the restructuring as it will improve DTBC's financial capacity over 10 years, reduce past due amounts, and support the mandated sector and government waste management regulations.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    33 views1 page

    Spiel DTBC

    Uploaded by

    CHRISTIAN HARVEY WONG
    Davao Thermo Biotech Corp. (DTBC) is requesting restructuring of outstanding loans totaling P99.01 million over 10 years. They are also requesting capitalization of interest charges and 100% waiver of penalties up to the implementation date. DTBC operates an organic fertilizer plant and provides waste management services. While construction was completed in 2016, delays in acquiring required technology impacted cash flow. However, DTBC was recently endorsed by the Davao City waste management board, which will provide wider business opportunities. The bank recommends approving the restructuring as it will improve DTBC's financial capacity over 10 years, reduce past due amounts, and support the mandated sector and government waste management regulations.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    of 1

    DAVAO THERMO BIOTECH CORP.

    The Chairman & Members of the Committee, Good Afternoon.

    May I present our proposal for the account of Davao Thermo Biotech Corp.(DTBC) for the
    following:
     First restructuring of outstanding principal of Term Loans 1,2 and 3 in the amount of
    P99.01M for a term of ten (10) years
     Capitalization of booked and unbooked interests and other charges up to
    implementation date with repayment of ten (10) years
     100% conditional condonation of penalties up to implementation date
     To allow unregistered REM in additional collateral covered by Carp-2017000037
     Waiver of 5% upfront payment for restructured accounts

    The company’s business is a pioneering project on waste management and production of


    organic fertilizer. It is the vision of the company to use the potential of YMO’s technology to
    minimize the country’s problem on wastes, and help the government achieve
    implementation of waste management regulations.

    The Bank has approved the Term Loans 1 to 3 of the Borrower in the total amount of
    P125.00 Million for the establishment of processing plant for organic fertilizer on Oct 6,
    2015. The construction of the organic fertilizer plant and other structures were completed
    on November 2016 and was officially inaugurated last 26 April 2017.

    Although construction was completed, there were delays in acquiring the YMO compost
    activator due to delayed import from the Fertilizer Pesticide Authority (FPA). The cash flow
    of the business at present is from the waste collection and management services. Recently,
    DTBC was given an endorsement contained in the Resolution of the Davao City Ecological
    Solid Waste Management Board, which validates the efficacy of the technology, and
    recommends DTBC to private establishments. With this, DTBC will have wider business
    opportunities on the solid waste management services industry.

    We favorably recommend the approval of the proposed transaction based on the following
    justifications:

     The 10-year restructuring is essential to help the Borrower improve its financial capacity.
    It will allow borrower to generate enough cash flow for the loan amortization,
    considering its current revenue streams from waste management
     Once approved, the Bank’s past due level will reduce by P99.013 Million upon
    implementation of the restructuring proposal.
     The project belongs to the mandated sector of the Bank as a large enterprise engaged in
    agri-business. Moreover, the project helps in achieving government implementation of
    waste management regulations.

    For your approval, please.Thank you.

    You might also like