Source: ABN Amro
ABN AMRO announced today that SMART Modular Technologies Sdn. Bhd., headquartered in Malaysia, has awarded the bank a regional disbursement mandate for the Asia Pacific region. The mandate will be co-ordinated from its regional treasury office in Malaysia and will involve other countries such as China, India and Korea. It covers payments, receivables and liquidity management in Malaysia as well as future plans to use ABN AMRO as a single service provider in the rest of Asia.
The mandate will support SMART's expansion plans and help it to unlock working capital in other countries such as India. SMART will centralise its treasury operations by moving to a single bank with a single platform that can not only meet its current requirements but also facilitate growth plans in the Asia Pacific region.
ABN AMRO has provided SMART with an escrow account-based solution and FX capabilities. Importantly it will also integrate its BankStation product, which simplifies and consolidates electronic payment initiation and reporting, with SMART's ERP system. By bringing together readily available financial information and using technology to better examine it, SMART will be able to make more effective decisions about the use of its working capital.
ABN AMRO Working Capital Country Head for Malaysia, Mr. Humphrey Valenbreder said: "We will be able improve the efficiency of SMART's regional treasury function and risk management through use of accounts held by us in all the countries involved."
ABN AMRO's Country Representative in Malaysia, Mr. Jeremy Oliver added: "Our understanding of SMART's business model, our ability to offer an advisory approach from the team in Malaysia, very much supported by our colleagues in India and China, and our client's willingness to engage with us, sharing its issues and challenges, proved to be the winning combination for this transaction."
SMART's Chief Financial Officer, Mr. Jack Pacheco said: "The team at ABN AMRO took this challenge and turned it around. ABN AMRO's advisory approach, timeliness and in-depth banking knowledge of the Asia Pacific countries won us over. We are delighted with this new relationship and look forward to other opportunities working together."