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Overview

Bank of China provides a £68 million GBP loan to Zhejiang Tiancheng Tech-Investment Co. for the acquisition of a 100% equity stake in Acro Aircraft Seating Limited

Commitments (Constant USD, 2023)$93,220,515
Commitment Year2017Country of ActivityUnited KingdomDirect Recipient Country of IncorporationChina (People's Republic of)SectorIndustry, Mining, ConstructionFlow TypeLoan

Status

Project lifecycle

Completion

Pipeline: PledgePipeline: CommitmentImplementationCompletion

Timeline

Key dates

Commitment date
Jan 1, 2017

Stakeholders

Organizations involved in projects and activities supported by financial and in-kind transfers from Chinese government and state-owned entities

Ultimate beneficial owners

At least 25% Chinese ownership

Funding agencies

State-owned Commercial Banks

  • Bank of China (BOC)

Receiving agencies

Private Sector

  • Zhejiang Tiancheng Tech-Investment Co.

Loan description

Bank of China provides a £68 million GBP loan to Zhejiang Tiancheng Tech-Investment Co. for the acquisition of a 100% equity stake in Acro Aircraft Seating Limited

Interest typeUnknown

Narrative

Full Description

Project narrative

In 2017, the Zhejiang Branch of the Bank of China (BOC) provided a £68 million GBP loan to Zhejiang Tiancheng Tech-Investment Co., a private Chinese enterprise, to acquire a 100% equity stake in Acro Aircraft Seating Limited. Zhejiang Tiancheng Tech-Investment Co. signed the £55 million GBP ($74.1 million USD) sale agreement with Acro Aircraft on September 19, 2017. As part of the purchase deal, Zhejiang Tiancheng Tech-Investment Co. agreed to transfer the equity of Acro to a designated enterprise within 36 months of the transfer to avoid competition with Zhejiang Tiancheng Controls Co., Ltd., and after these procedures, inject the entire equity of Acro into Zhejiang Tiancheng Controls Co., Ltd. Acro Aircraft Seating Limited is a British aircraft seat manufacturer and designer. Its major customers include financial services and leasing company GE Capital and airliners such as Air New Zealand, Frontier Airline, Allegiant Airline and Spirit Airline. Acro is also known as a supplier to Airbus. The Chinese acquisition was expected to give Acro market access to China.

Staff comments

1. The Chinese project title is 浙江天成科投有限公司跨境收购英国ACRO航空座椅项目. 2. It is unclear when this loan provided; however, as the sale agreement was signed in 2017, AidData has assumed the loan was also provided in 2017, but the specific date is known; therefore, AidData has checked the commitment_date_estimated? field.