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Singapore-based ChemOne Holdings Pte Ltd is seeking more than US$2.7 billion (approximately RM11.42 billion) through a syndicated loan to support the development of a major chemical processing facility in Johor, Malaysia, according to sources familiar with the matter. In response to queries from Bloomberg News, the petrochemicals group confirmed that the project financing carries a weighted average tenor of around 7.5 years. The proposed loan features an interest margin of approximately 150 to 180 basis points above the benchmark Secured Overnight Financing Rate. Mizuho Securities Co Ltd is among the financial institutions acting as arrangers for the deal. This syndicated loan forms part of a broader US$3.5 billion funding package, for which ChemOne finalised financing terms in December. The company has already secured commitments for approximately 90 percent of the total loan amount and is in advanced negotiations to conclude the remaining tranche. A consortium of global export credit agencies and development financial institutions, including the Export-Import Bank of the United States and Italy’s SACE, has confirmed its participation in the transaction. ChemOne expects to formally sign the agreement in the third quarter of the year. The financing will support the construction of the Pengerang Energy Complex in southern Johor, a strategic development within a growing oil, gas and petrochemical hub near key international shipping routes. The site’s deep-water access will enable it to accommodate some of the largest crude carriers globally. Designed as a low-carbon facility, the complex is projected to deliver 5.6 million metric tonnes annually of aromatic and energy products. Construction is scheduled to commence in mid-2025, with full operational streaming anticipated by the end of 2028. ChemOne added that the syndicated loan is supported by investment-grade credit insurance, covering up to 95 percent of both interest and principal obligations. -Bloomberg

Indonesia’s sovereign wealth fund, Danantara, is reportedly exploring a role in the proposed US$7 billion (RM29.6 billion) acquisition of GoTo Group by Grab Holdings Ltd, a potential move that could enable the Indonesian government to retain partial ownership in one of Asia’s leading digital platforms. Preliminary discussions have been initiated between Danantara and GoTo regarding the acquisition of a minority stake in the merged entity, according to individuals familiar with the matter. Such an arrangement may help address national concerns over the sale of a homegrown technology company to Grab, a Singapore-based firm. While both Grab and GoTo have progressed in shaping a potential deal structure, negotiations have slowed in recent weeks due to concerns surrounding regulatory scrutiny. In May, Indonesia’s antitrust authority announced it would investigate the merger’s potential impact and called on both firms to ensure the agreement would not result in monopolistic behaviour. In this context, Danantara’s potential participation could enhance the likelihood of regulatory approval from the Indonesian government, which is expected to pose the greatest hurdle for the transaction. However, the discussions are still in early stages and may not result in a formal agreement. It remains uncertain whether Danantara has held direct discussions with Grab. Spokespersons for Grab, GoTo and Danantara have declined to comment on the matter. The two companies have engaged in intermittent merger talks for years, though no agreement has materialised, largely due to antitrust risks associated with combining Southeast Asia’s two largest ride-hailing and food delivery providers. Since exiting Southeast Asia in 2018, Uber Technologies Inc has retained a stake in Grab. Despite competition from smaller players, Grab and GoTo continue to dominate market share in Indonesia and Singapore. The potential sale of GoTo has triggered concerns within Indonesian political circles regarding national autonomy and the preservation of local technology jobs. Some officials have expressed apprehension about potential price increases in ride-hailing and food delivery services should Grab achieve dominant market control, particularly at a time when consumers face economic headwinds. One of the potential mitigations being discussed includes a commitment by Grab to maintain employment levels for a set period post-merger. The Indonesian government is concurrently navigating market uncertainty triggered by the populist measures implemented by President Prabowo Subianto. Since assuming office late last year, the 73-year-old former general has enacted a series of populist policies, including raising the minimum wage, expanding consumer subsidies, curtailing central bank independence, and adopting a firm stance toward foreign businesses. In March, he ordered both Grab and GoTo to provide holiday bonuses to their drivers. According to reports by Bloomberg News, Grab is evaluating GoTo at over US$7 billion, with one option under consideration being an all-stock transaction priced at approximately 100 rupiah per share. GoTo’s shares closed at 61 rupiah on Thursday, 5 June. A proposed sequence involves GoTo first acquiring Grab’s Indonesian ride-hailing and food delivery operations. Subsequently, Grab would take a majority stake in the new entity, thereby assuming control over GoTo’s Indonesian operations. Concurrently, GoTo would divest its Singapore-based ride-hailing business to a third party. Grab, headquartered in Singapore, is currently Southeast Asia’s largest ride-hailing and delivery platform, maintaining leadership in key markets including Malaysia and Thailand. GoTo, while having exited countries such as Thailand and Vietnam amid aggressive cost-cutting efforts, remains a significant player in Indonesia, the region’s most populous country with over 275 million residents. Acquiring GoTo would reinforce Grab’s foothold in Indonesia, particularly as emerging competitors like InDrive and Maxim continue to expand their presence. Grab’s revenue from Indonesia rose 6.3% to US$643 million in 2024, marking the company’s slowest growth among Southeast Asian markets. -Bloomberg

Airbus has announced that its Chief of Procurement, Juergen Westermeier, will assume leadership of the company’s operations in India and South Asia, effective 1 September. The internal appointment was communicated via a company memo reviewed by Reuters. A successor for the procurement role has yet to be named, with the memo stating that the position remains “subject to further notice.” Airbus has declined to comment publicly on the internal reshuffle. The leadership transition comes amid ongoing challenges for the European aerospace giant as it continues to grapple with persistent supply chain disruptions. These issues, rooted in labour shortages and reduced industrial capacity following the COVID-19 pandemic, have hampered the company’s ability to maintain consistent production and delivery schedules. Recent performance indicators underscore the pressure Airbus is facing. Aircraft deliveries in May fell by 4 per cent compared to the previous month, contributing to a year-to-date decline of 5 per cent. Airbus has set an ambitious target of delivering 820 aircraft by the end of 2025, representing a 7 per cent increase over previous figures. Achieving this will require a significant ramp-up in output over the coming months. Analyst Rob Morris, Head of Consultancy at Cirium Ascend, noted via LinkedIn that production of Airbus’s A320neo family trailed Boeing’s 737 MAX in May for the first time since August 2019, based on the number of first flights. Airbus did not comment on monthly production figures but has attributed recent shortfalls to ongoing weaknesses in key parts of the supply chain, particularly involving engine components and aerostructures. Westermeier’s reassignment marks the second high-level change in Airbus’s engineering and industrial leadership in recent weeks. Earlier, Sabine Klauke, the group’s Chief Technology Officer, was reassigned to focus on digital design and manufacturing transformation efforts. During his tenure as procurement chief, Westermeier was known for a firm stance on supplier quality and stock management. In 2021, a letter reported by Reuters revealed that he had urged suppliers to hold more inventory and improve performance standards. More recently, he spearheaded an initiative aimed at unifying standards across the supply network. While some suppliers have called for fresh approaches to encourage readiness for increased production, a source familiar with the matter said Westermeier’s transition is unrelated to current supply chain challenges, which are reportedly beginning to stabilise. Airbus CEO Guillaume Faury commended Westermeier’s contributions in the internal communication. Westermeier will replace Remi Maillard, who was recently appointed Head of Technology as Airbus explores future development paths for the successor to its best-selling A320neo aircraft.

Amazon has officially launched the AWS Asia Pacific (Taipei) Region, significantly expanding its global cloud infrastructure footprint. The new region will enable developers, enterprises, startups, and organisations across various sectors—including education, entertainment, finance, healthcare, manufacturing, and the nonprofit space—to run applications with reduced latency and meet data residency requirements by hosting content within Taiwan. In support of this long-term initiative, Amazon has committed to investing more than USD 5 billion to build, connect, operate, and maintain its data centres in Taiwan. The launch marks a key milestone in Amazon Web Services’ (AWS) global infrastructure expansion, bringing the total to 117 Availability Zones across 37 regions worldwide. The Taipei Region comprises three Availability Zones, and AWS has plans to add 13 more zones and four additional regions in Chile, New Zealand, Saudi Arabia, and the AWS European Sovereign Cloud. Prasad Kalyanaraman, Vice President of Infrastructure Services at AWS, stated that the new region will empower organisations of all sizes to scale confidently using AWS’s extensive portfolio of cloud services. These include compute, storage, advanced analytics, and artificial intelligence, all while maintaining compliance with local regulations. Kalyanaraman added that the infrastructure is designed to deliver single-digit millisecond latency, enhancing user experiences and accelerating innovation. Taiwan’s Premier, Mr Jung-tai Cho, welcomed the investment, noting that it underscores Taiwan’s vital role in the global supply chain and reinforces the country’s collaboration with AWS. He expressed optimism that the initiative would support national efforts in digital transformation and foster innovation in cloud computing and emerging technologies. Amazon’s latest launch builds upon a decade of infrastructure development in Taiwan. Since 2014, AWS has introduced Amazon CloudFront edge locations and AWS Direct Connect sites in Taipei, in addition to launching AWS Outposts in 2020 and AWS Local Zones in 2022. The new Taipei Region is sovereign-by-design and aims to meet the most stringent requirements for security, reliability, and performance. The region will benefit local organisations such as TSMC, Acer, Trend Micro, Cathay Financial Holdings, Chunghwa Telecom, and Yahoo! TW Ecommerce, among others. AWS Partners in Taiwan include CKmates, eCloudvalley, Going Cloud, MetaAge Corporation, Netron Ltd., and NextLink Technology. Amazon is also investing in talent development through programmes like AWS Academy, AWS Educate, and AWS Skill Builder. To date, over 200,000 individuals in Taiwan have received cloud training, contributing to the nine million trained across Asia Pacific and Japan since 2017. AWS plans to further expand its local workforce to support the new region. The company continues to pursue its sustainability goals, with AWS data centres engineered for energy efficiency through innovations in design, purpose-built chips, and cooling technologies. A study by Accenture estimates AWS’s infrastructure is up to 4.1 times more energy-efficient than traditional on-premises data centres, with potential carbon footprint reductions of up to 99% when workloads are optimised on AWS. With the launch of the AWS Asia Pacific (Taipei) Region, customers across Asia Pacific can now leverage world-class infrastructure to meet increasing demand for secure, reliable, and low-latency cloud services, helping drive growth, efficiency, and innovation in a digitally transforming region. -BusinessWire

Chinese electric vehicle manufacturer BYD is set to significantly expand its footprint in South Africa, with plans to nearly triple its dealership network by next year, as part of a broader strategy to strengthen its position in Africa’s largest automotive market. The company, which made its South African debut in 2023 with the launch of its battery electric ATTO 3 model, currently operates approximately 13 dealerships across the country. According to Steve Chang, General Manager of BYD Auto South Africa, that number is expected to increase to 20 by the end of this year, with further growth to between 30 and 35 dealerships targeted for 2025. This strategic expansion comes amid increasing competition in South Africa’s emerging new energy vehicle (NEV) segment, where other Chinese automakers such as GAC, Chery, and GWM are also gaining traction. The market is witnessing a gradual shift towards electrification, driven by rising consumer interest and a broader global transition towards sustainable mobility. BYD currently offers six models to South African consumers, with a dual-powertrain approach that includes both hybrid and fully electric vehicles. Its latest additions to the market — the plug-in hybrid Shark pick-up, the hybrid SEALION 6, and the fully electric SEALION 7 SUV — were introduced in April, enhancing the brand’s appeal across a diverse customer base. The expanded dealership network is expected to bolster brand visibility and accessibility across South Africa, a country that remains in the early stages of electrified vehicle adoption. According to the National Association of Automobile Manufacturers of South Africa (NAAMSA), sales of new energy vehicles more than doubled in 2024, reaching 15,611 units compared to 7,782 units the previous year. Despite this growth, NEVs still account for a relatively small share of overall car sales. Chang emphasised BYD’s commitment to being a long-term player in the market, stating the company’s intention to educate consumers and lay the groundwork for broader adoption. “We want to educate and cultivate the market of South Africa and make sure that the South African consumers can catch up with the rest of the world,” he said. He acknowledged that the uptake of electric vehicles in Africa remains slow when compared to other emerging markets, due in part to challenges such as limited charging infrastructure, unstable electricity supply, and high import duties on electric vehicles relative to traditional combustion-engine cars. Nevertheless, BYD remains optimistic. “South Africa is actually one of the most important automotive markets in the southern hemisphere. It’s probably the biggest market in all of Africa, so it’s a market that we have to look at and see how we can develop,” Chang added. With a growing model line-up and a strengthened retail presence, BYD is positioning itself to play a key role in shaping the future of electric mobility in South Africa. -Reuters