The Lenzing Group (Lenzing) has chosen Deutsche Bank’s Global Transaction Banking division as its cash management bank in the China (Shanghai) Free Trade Zone.
According to the "People's Bank of China's Opinion on Providing Financial Support for the Development of the China (Shanghai) Free Trade Zone Pilot", corporates registered in the Free Trade Zone may carry out intra-company two-way Renminbi cash pooling through their banking partners, and centralise their payments and collections processes between onshore and offshore entities.
Headquartered in Austria, Lenzing specialises in the production of high-quality cellulose fibres for the textile and nonwovens industry. With 75 years of experience in the production of fibre, Lenzing is the only company worldwide combining the manufacturing of all three man-made cellulose fibre generations on a large industrial scale under one roof – from the classic viscose to modal and lyocell (TENCEL) fibres.
Renminbi cross-border cash pooling will help corporates in China (Shanghai) Free Trade Zone to optimise their liquidity and treasury management and enable them to have access to additional sources of financing outside of China to support their onshore business expansion.
“Renminbi two-way cross-border cash pooling will be very well received by corporates in China, and we are pleased to have been chosen by Lenzing," says Carl Wegner, Greater China Head of Global Transaction Banking at Deutsche Bank. "These services will greatly enhance the company’s cross-border operations. We look forward to helping more corporates in the China (Shanghai) Free Trade Zone, which will be a centre for innovation in the future. We are very excited about these continuing developments.”