Deutsche Bank China Co., Ltd. (‘Deutsche Bank China’) today announced its appointment as cash management bank by OSRAM. The Bank will provide payments & collections services both in foreign currency and Renminbi (‘RMB’), as well as liquidity management services to OSRAM in Mainland China as part of their global liquidity management structure.
OSRAM is a world-leading lighting manufacturer headquartered in Germany. The company’s portfolio covers the entire value chain from components to electronic control gears as well as complete luminaires, light management systems and lighting solutions.
Deutsche Bank seamlessly consolidated the cash management flows of six local OSRAM entities and set up a domestic RMB cash pool structure for its daily operations thereby improving the company’s liquidity management and reducing its interest costs. In addition to these domestic solutions, Deutsche Bank also provided a two-way RMB cross-border cash pooling service to OSRAM in Guangzhou. As a result, OSRAM’s head office is both able to centralise RMB surplus balances from China in their global cash pool with Deutsche Bank Germany and also provide funding to the company’s China operations using off-shore funds of the group. OSRAM will also be using Deutsche Bank’s e-Doc and e-BOP solutions for straight-through paperless cross-border payments from Mainland China.
Mahesh Kini, Managing Director, Head of Cash Management Corporates, Asia Pacific at Deutsche Bank, said: “This mandate has sealed a strong regional relationship between Deutsche Bank and OSRAM. The company was pleased with the Bank’s existing relationship and service levels which was critical to choosing Deutsche Bank in China.”
Dr. Andreas Neeb, Head of Subsidiary Finance at OSRAM GmbH, added: “Deutsche Bank was able to formulate a comprehensive and innovative cash management solution for OSRAM’s setup in Mainland China. The implementation process was carried out professionally with strong commitment and according to the pre-agreed project plan. We also found that the Bank’s understanding of the local market and expertise in RMB cash management to be extremely valuable to our business. We look forward to continuing to work with Deutsche Bank globally.”
