Shoosmiths has advised the UK’s development finance institution CDC Group on its $15m investment into RFL Electronics, which will grow the Bangladeshi company’s manufacturing capacity.
The funding will be used to acquire specialist equipment for RFL Electronics’ state-of-the-art facility, in Narsingdi, which produces consumer electronic goods for the local market.
CDC is investing alongside Standard Chartered Bangladesh, which is providing a further $3m.
Over the course of CDC’s seven-year lending period, it is expected the funding will create more than 2,500 manufacturing jobs.
Rebecca Mauleverer, the partner at Shoosmiths who led on the deal, said: “We were very pleased to be working with CDC in relation to this loan. The work CDC does is extremely important and beneficial to many people, giving them employment and security.”
Banking partner Linda Williams and solicitor Sophie King assisted Rebecca Mauleverer.
CDC says its investment will meet the growing demand for electronics in Bangladesh, and help the company grow. Its funding allows the company to import equipment to modernise its manufacturing base while access to long-term debt capital, in both local and foreign currency, remains limited in the country.
RFL Electronics produces television sets, refrigerators, air conditioners, rice cookers and many other electronic goods which are sold under the Vision brand. It is part of the Pran-RFL Group of companies which is a diversified conglomerate specialising in food products, beverages, plastic goods and furniture.
CDC is wholly owned by the government and aims to support the building of businesses throughout Africa and South Asia, create jobs and make a lasting difference to people’s lives in some of the world’s poorest countries.