SSP Inks New $20 Million Loan Agreement with Parent

SFA Semicon Philippines Corp. (PSE: SSP) disclosed that it has renewed its loan agreement with its parent company, SFA Semicon Co. Ltd (SSK) of South Korea effective today (August 10, 2020).

The new agreement extends the medium-term loan agreement signed on April 10, 2018 with SSK granting SSP $30 million to fund its capital requirements and to refinance its outstanding loan payable with BDO Unibank Inc. (PSE: BDO).

SSP has partially paid the principal amount of $10 million as of the expiry of the original loan agreement. The remaining $20 million debt shall be subject to interest rate of 4.6% per annum for the three-year term of the loan which will enable the Company to have stable financing costs over the period.

Under the terms, the maturity date of the $20 million loan balance is extended from August 10, 2020 to August 9, 2023.




“The renewal of the loan is a testament to the commitment of SSK in the future of the Company and its plan to further strengthens its world-class manufacturing operations and financial condition,” SSP President Joon Sang Kang said.