Bank of America Merrill Lynch GTS Implements Tailored China Solution for OSI Group

Published: June 18, 2014

SHANGHAI – Bank of America Merrill Lynch Global Transaction Services (GTS) today announced the implementation of a tailored collections and payments solutionin China for OSI Group (OSI) LLC, a privately-owned U.S.-based food processing corporation.In addition to a full suite of treasury management services to help OSI optimize working capital in China, the customized solutionincludes dedicated credit facilities to support its new operations in Weihai, Shandong province, China.

The integrated collection and payments solution provides OSI with enhanced efficiencies and control of treasury processes for its expanding China operations. Under the solution, OSI maintains local currency operating accounts and USD capital accounts with Bank of America Merrill Lynch, while also integratingexisting accounts with local banking partners. Additionally, Bank of America Merrill Lynch’s solution will include various deposit and FX services.

By implementing CashPro Online™ and CashPro Connect™, Bank of America Merrill Lynch’s unified global platform, OSI will utilize a single portal to manage all its China treasury operations, which is supported by automated and comprehensive information reporting processes.

“This deal highlights the unique ability of Bank of America Merrill Lynch to pair local market experience with global connectivity and solutioning,” said Ivo Distelbrink, head of Global Transaction Services, Asia Pacific. “As OSI continues to expand in China, we commit ourselves to delivering the full strength ofour local presence, global resources and unrivaled universal banking model.”

Bank of America Merrill Lynch’s unique China UnionPay (CUP) Alliance also represents an important differentiating component of the larger solution developed for OSI. The alliance supports card acquiring from all domestic cards and the majority of non-China cards, while also providing direct debit collection from individual accounts opened with over 100 major local banks. Through this market-first alliance in China, OSI can use point of sale machines provided by CUP to collect debit and credit card payments from their diversified base of local buyers, and automatically centralize funds in their Bank of America Merrill Lynch account, allowing for clear reporting and streamlined reconciliation.

“Bank of America Merrill Lynch’s solution meets our requirements for a comprehensive and scalable banking solution to manage daily treasury management activities, streamline banking arrangements across our entities in China, and build cost efficiencies as we expand in this strategic market,” said Frank Wang, Finance director of OSI China.

OSI has been operating in China since opening its first factory in Beijing in 1992. In addition to integrated poultry facilities and two existing protein further-processing plants, the company operates four produce plants and a dough operation in this market. Additionally, OSI has facilities in India, Japan, Taiwan, the Philippines and Australia, and employs approximately 10,000 people throughout Asia Pacific. 

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Article Last Updated: November 26, 2020