HSBC provides first social loan for Mekong Capital-backed Gene Solutions

HSBC has provided a social loan for biotechnology company Gene Solutions, allowing the latter to continue expanding its healthcare services to Vietnam and ASEAN’s citizens.

The social loan, HSBC’s first for a Vietnamese corporate group and in the form of a revolving credit facility, is expected to support Gene Solutions with its capital needs, technology upgrades, new product launch and expansion in the region, HSBC said in a statement, without revealing the amount.

The financing aims to enhance the accessibility to and affordability of essential healthcare services across Southeast Asia, particularly in early risk detection, non-invasive prenatal testing, cancer screening and diagnosis.

The social loan was provided via HSBC Singapore’s newborn $200 million New Economy Fund, designed to empower new economy business growth and innovation in Southeast Asia. It is compliant to HSBC's credit management and approval process on sustainable finance.

Gene Solutions is the first venture-backed startup from Vietnam to achieve the fund’s financing.

Before this social loan, early this year, HSBC supported Gene Solutions to set up their banking platforms, aiming to facilitate future capital raising needs and their expansion across Singapore, Malaysia, Thailand, Indonesia and the Philippines.

Gene Solutions was co-founded in 2017 by three Vietnamese scientists with background in genetics, cancer biology, clinical medicine, and biotechnology.

Mekong Capital, among the leading asset management firms in Vietnam, invested $21 million in Gene Solutions in a series B round in September 2023, following an initial $15 million investment in 2021.