Standard Chartered Completes Cross-border Two-way Sweeping Deal for WPG Holding in SFTZ

Published 

Accelerates cash management efficiency by two-way flow of capital 

Taipei – Standard Chartered Bank (Taiwan) Limited announced today the completion of an RMB cross-border two-way sweeping deal for Asia’s largest electronics distributor WPG Holdings in Shanghai Free Trade Zone (SFTZ).

John Tan, CEO of Standard Chartered Bank (Taiwan) Limited, commented that the Bank possesses leadership and strong experience in RMB business globally. With its networks in the Shanghai Free Trade Zone and Kunshan Free Trade Zone, the Bank is able to provide its clients with comprehensive and innovative RMB solutions. The RMB cross-border two-way sweeping deal completed for WPG Holdings provides the client with a more efficient cash management solution. This deal, the first for Standard Chartered Taiwan, demonstrates the Bank’s expertise and quality of service in cross-border trade finance and cash management service in the Greater China region, and further strengthens Standard Chartered’s leading position in RMB internationalisation.

WPG Holdings is the largest electronics distributor in Asia as well as the world’s 3rd largest IC distributor with global presence. Its network in China can be found across Beijing, Shanghai, Suzhou and Guangdong. WPG Holdings established an RMB cross-border two-way sweeping pool as “Pool header” with the aid of Standard Chartered that WPG Holdings can enjoy a more flexible cash flow between Taiwan and China, as well as centralised cash management and capital flow. They will also benefit from lower cash management cost and better application of capital under this mechanism. After the completion of the deal, WPG has remitted the first batch of capital via Standard Chartered Taiwan. 

RMB cross-border two-way sweeping allows Taiwanese corporates better capital management among their cross-strait networks. With this mechanism, corporates can finance their subsidiary in China with capital needs via the allocation of capital coordinated within the group, instead of borrowing from banks which would incur interest cost. This helps save cost of financing and increase cash management efficiency. 

Most recent episodes

Trade Finance Vision: J.P. Morgan and Cleareye Collaboration Plots Future Path

Eleanor Hill (TMI) is joined by Natasha Condon (J.P. Morgan Payments) to discuss the latest trends and innovations emerging from the trade finance arena. Natasha considers how treasurers can improve the efficiency of their working capital, and examines why it remains critical for banks and fintechs to...

29:01

Audio TMI - ESG: Time to Decide

The pressure to comply with ESG initiatives is being felt by corporates like never before, with ESG-compliance a common concern among treasury departments. TMI talks to Lavinia Bauerochse (Deutsche Bank) about treasury’s ...

11:41

Embedded Finance: A 101 Guide for Treasurers

Our latest TreasuryCast guest, Aman Narain (HSBC) sits down with TMI's Eleanor Hill to consider the ways in which treasury might be impacted by embedded finance. In this podcast, Aman explains the differences between embedded finance and BaaS, shares his hopes for the future in this space, and provides...

12:58

Audio TMI - A Modern, Agile, and Efficient Machine

UniCredit's Raphael Barisaac and Massimo Ortino explain how the fir...

What’s on the Horizon for Short-term Investments?

The treasury community has risen to the ongoing challenge of rising interest rates and inflation, with corporate cash serving as the sought-after safety net. Here, Daniel Farrell (Northern Trust Asset Management) and Karl Adams (ICD) consider how the latest MMF reform proposals affect short-term...

39:27

Transitioning a Corporate from LIBOR to CME Term SOFR

The loans market has predominantly moved to forward looking term rates, and both corporate borrowers and global lenders are increasingly turning to CME Term SOFR as the forward looking risk-free benchmarks to support their activities. Listen to this podcast, featuring Gavin Lee, Marco Bianchi (CME...

37:16

HSBC’s Sibos Spotlight – View from Sibos

TMI's Eleanor Hill invites Neil Atkinson, Nadine Lagarmitte, and Vinay Mendonca (HSBC) to discuss the critical treasury topics and conversations highlighted at this year's Sibos conference in Amsterdam. Amongst a wealth of market insights, our guests consider the most critical developments emerging from...

38:40

ECB’s Targeted TLTRO Tweaks Set to Drain Excess Market Liquidity

Welcome to the latest edition of Liquidity Link Live, your exclusive market analysis provided by Northern Trust Asset Management, one of the world’s largest cash managers. Tune in each month to discover the very latest insights on the UK, Eurozone and US markets. This edition was recorded on the 7th...

05:42

Asian Treasury Trends: Learnings and Opportunities

Former corporate treasury professional, Valerie Heng (Deloitte) joins Eleanor Hill to discuss the hot topic of treasury transformation, alongside other key shifts treasurers should be aware of. In this podcast, Valerie uses her knowledge of the Asian Treasury market to explain how the role of the...

20:27