HSBC, Vietnam retail giant Mobile World sign sustainability-linked trade agreement

Mobile World JSC, a member of Mobile World Investment Corporation (Mobile World Group – MWG), a leading retailer in Vietnam, recently secured a sustainability-linked trade loan with HSBC Bank (Vietnam) Ltd.

The loan is provided to support Mobile World JSC’s working capital in recognition of their efforts to reduce greenhouse gas emissions across it operations, while implementing actions to minimize plastic bags in its stores.

Mobile World JSC is Vietnam’s leading mobile phone and consumer electronics retail chain with over 3,000 points of sales nationwide and millions of products sold annually.

Mobile World JSC’s ESG key performance indicators (KPIs) were developed in line with international sustainability-linked loan principles (SLLP) and validated by an external second party opinion firm.

“The transaction with Mobile World JSC reflects HSBC’s ongoing efforts to support Vietnamese corporates to adopt more sustainable business practices,” said Tim Evans, CEO and head of banking, HSBC Vietnam.

“Building the strategic relationship with Mobile World Group for nearly 20 years has helped us appreciate their long-term strategy and leverage our solutions to meet their increasing demands”, Evans added.

Vu Dang Linh, CFO of Mobile World Group, said that sustainability is more than just a trend - it is our responsibility to the environment and society. This sustainability-linked trade loan provides working capital to The Gioi Di Dong in the recognition of our strategy to reduce greenhouse gas emission intensity and reduce use of plastic bags across our retail network.

Mobile World Investment Corporation (MWG) reported a revenue of VND24.52 trillion ($959.5 million) in the first two months of the year, or VND416 billion ($16.44 million) per day.

The two-month revenue represented a 13.5% increase compared to the same period last year and 16% of the year's target (VND150 trillion or $5.87 billion), according to the company.