Ex-Im Bank Guarantees $21 Million Export Loan
October 30, 2014
(Ex-Im Bank)
Transaction Supports Hundreds of U.S. Jobs in Texas
WASHINGTON, D.C. – The Export-Import Bank of the United States (Ex-Im Bank)
today announced its guarantee of a $21 million revolving loan facility by
Cadence Bank to Jyoti Americas LLC for the export to Canada of lattice
transmission towers to be constructed by U.S. workers in Conroe, Texas.
The 220,000 square-foot Jyoti Americas manufacturing plant already employs about
159 workers. As a result of this transaction, an additional shift of skilled
workers will be added to the present workforce for this export production.
"We're pleased to support both Jyoti's direct investment in America, and the
jobs that open up when U.S. manufacturers export," said Ex-Im Bank Chairman and
President Fred P. Hochberg. "This transaction also illustrates how exporters
like Jyoti Americas can get fast export credit through one of Ex-Im's
delegated-authority lenders, Cadence Bank. Ex-Im's guarantee helped clinch the
sale, and paved the way for more business and U.S. jobs."
Jyoti Americas LLC is wholly-owned subsidiary of Jyoti Structures, Ltd., India,
which directly invested $41 million to establish a state-of-the-art
manufacturing plant in Conroe. The Texas employees will source U.S.-produced
steel to fabricate up to 54,000 metric tons annually. Jyoti Americas' customer
in Canada requires electric transmission towers for the Labrador-Island Link LP,
an element of the Lower Churchill Project which generates and distributes
hydroelectric power to Canada's Atlantic provinces. Jyoti Americas will design,
manufacture, and test eleven different types of high-voltage towers weighing a
total 34,000 metric tons.
"We are delighted to receive this support from Ex-Im Bank which paved the way
for us to secure and smoothly execute this prestigious export to Canada," said
Ashok Goyal, Joint Managing Director at Jyoti. "With Ex-Im Bank's guarantee
support along with Cadence Bank's working capital facilities, we look forward to
many more such successes globally."
Cadence Bank is a Delegated Authority Lender with Ex-Im Bank; it has over 80
branches in Texas and five other states in the southeastern U.S.
"Being able to support the job growth of Texas is an enormous opportunity for
Cadence Bank, and Jyoti's global structure made it a perfect candidate for the
Export Working Capital Program, which issues standby Letters of Credit and
guarantees sufficient working capital," said M.G. Shetty, senior vice-president
for trade finance at Cadence Bank.
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