AT&S Malaysia (IFC-48999)

Countries
  • Malaysia
Geographic location where the impacts of the investment may be experienced.
Specific Location
Hi-Tech Industrial Park
Whenever identified, the area within countries where the impacts of the investment may be experienced. Exact locations of projects may not be identified fully or at all in project documents. Please review updated project documents and community-led assessments.
Financial Institutions
  • International Finance Corporation (IFC)
International, regional and national development finance institutions. Many of these banks have a public interest mission, such as poverty reduction.
Project Status
Approved
Stage of the project cycle. Stages vary by development bank and can include: pending, approval, implementation, and closed or completed.
Bank Risk Rating
B
Environmental and social categorization assessed by the development bank as a measure of the planned project’s environmental and social impacts. A higher risk rating may require more due diligence to limit or avoid harm to people and the environment. For example, "A" or "B" are risk categories where "A" represents the highest amount of risk. Results will include projects that specifically recorded a rating, all other projects are marked ‘U’ for "Undisclosed."
Voting Date
Dec 19, 2024
Date when project documentation and funding is reviewed by the Board for consideration and approval. Some development banks will state a "board date" or "decision date." When funding approval is obtained, the legal documents are accepted and signed, the implementation phase begins.
Borrower
AT&S Austria Technologie & Systemtechnik (Malaysia) Sdn. Bhd.
A public entity (government or state-owned) provided with funds or financial support to manage and/or implement a project.
Sectors
  • Industry and Trade
The service or industry focus of the investment. A project can have several sectors.
Investment Type(s)
Loan
The categories of the bank investment: loan, grant, guarantee, technical assistance, advisory services, equity and fund.
Investment Amount (USD)
$ 250.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Project Cost (USD)
$ 1,000.00 million
Value listed on project documents at time of disclosure. If necessary, this amount is converted to USD ($) on the date of disclosure. Please review updated project documents for more information.
Bank Documents
Primary Source

Original disclosure @ IFC website

Updated in EWS Mar 16, 2025

Disclosed by Bank Oct 30, 2024

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Project Description
If provided by the financial institution, the Early Warning System Team writes a short summary describing the purported development objective of the project and project components. Review the complete project documentation for a detailed description.

According to the Bank’s website, the proposed investment is a sustainability linked loan (SLL) of up to US$400 million (or equivalent in Euros), including up to US$250 million (or equivalent in Euros) for IFC’s own account and up to US$150 million (or equivalent in Euros) in potential mobilization, to AT&S Austria Technologie & Systemtechnik (Malaysia) Sdn. Bhd. (“AT&S Malaysia” or the “Company”). AT&S Malaysia is a wholly owned subsidiary of AT&S Austria Technologie & Systemtechnik Aktiengesellschaft (“AT&S Austria”). AT&S Austria is a leading global manufacturer of high-end printed circuit boards (PCBs) and integrated circuit (IC) substrates. AT&S Malaysia was incorporated in June 2021 to house greenfield integrated circuit (IC) substrate manufacturing plant in Kulim, Malaysia for some of the key customers. IFC’s financing will be utilised to fund the capital expenditure and associated start-up costs / effects (i.e. the expenses until the commencement of mass production) for the first phase of this plant (the “Project”).

AT&S Austria has a focus on sustainability and targets to reduce absolute Scope 1 and 2 GHG emissions by 38% by 2030/31 (compared to a baseline of 2021/22). The Project is aligned with the goals of the Paris Agreement.

Early Warning System Project Analysis
For a project with severe or irreversible impacts to local community and natural resources, the Early Warning System Team may conduct a thorough analysis regarding its potential impacts to human and environmental rights.

This is a Category B Project. IFC’s loan is solely for IC substrates plant under construction in Kulim Hi-Tech Industrial Park, in Malaysia. The recently completed facility will not be expanded or result in additional E&S risks as part of the investment. Key E&S risks include: (i) need to have a completed and functioning ESMS and capacity to meet IFC PS during operations, including contractor management; (ii) labour, working conditions and OHS; (iii) high energy and water use, pollution prevention controls due to use of hazardous chemicals, solvents, waste handling and wastewater management of metal contaminated etching rinse water; (iv) community health and safety through the project life cycle; (v) supply chain risks (copper, gold and laminates); and (vi) stakeholder engagement given close proximity to residential areas.

Investment Description
Here you can find a list of individual development financial institutions that finance the project.

The total cost of the Project is estimated at approximately US$ 1 billion which will be financed by (i) up to US$250 million (or equivalent in Euros) A Loan for IFC’s own account; (ii) up to US$150 million (or equivalent in Euros) in potential mobilization through B1 Loan and/or Parallel Loans to be provided by other lenders; and (iii) equity and customer advances for the remaining balance.

Private Actors Description
A Private Actor is a non-governmental body or entity that is the borrower or client of a development project, which can include corporations, private equity and banks. This describes the private actors and their roles in relation to the project, when private actor information is disclosed or has been further researched.

AT&S Malaysia is a 100% owned subsidiary of AT&S Austria. AT&S Austria is a leading global manufacturer of high-end printed circuit boards (PCBs) and integrated circuit (IC) substrates, founded in 1987 and is currently listed on the Vienna Stock Exchange with a market cap of US$905 million (as of October 10, 2024). Mr. Hannes Androsch and Mr. Willi Dorflinger, along with the related entities own 35.68% of the shares in AT&S Austria while the remaining 64.32% (as of March 31, 2024) of the shares are owned by public shareholders on a free float basis.

Private Actor 1 Private Actor 1 Role Private Actor 1 Sector Relation Private Actor 2 Private Actor 2 Role Private Actor 2 Sector
- - - - AT&S Austria Technologie & Systemtechnik (Malaysia) Sdn. Bhd. Client -
- - - - AT&S Austria Technologie & Systemtechnik Aktiengesellschaft Parent Company -

Contact Information
This section aims to support the local communities and local CSO to get to know which stakeholders are involved in a project with their roles and responsibilities. If available, there may be a complaint office for the respective bank which operates independently to receive and determine violations in policy and practice. Independent Accountability Mechanisms receive and respond to complaints. Most Independent Accountability Mechanisms offer two functions for addressing complaints: dispute resolution and compliance review.

AT&S Austria Technologie & Systemtechnik Aktiengesellschaft
Klopf Siegfried
Head of Treasury Management
+43 3842 200 2167
s.klopf@ats.net
Fabriksgasse 13, 8700 Leoben, Austria
www.ats.net

ACCESS TO INFORMATION

You can submit a request for information disclosure at: https://disclosures.ifc.org/#/inquiries

If you believe that your request for information from IFC has been unreasonably denied, or that this Policy has been interpreted incorrectly, you can submit a complaint at the link above to IFC's Access to Information Policy Advisor, who reports directly to IFC's Executive Vice President.

ACCOUNTABILITY MECHANISM OF IFC/MIGA

The Compliance Advisor Ombudsman (CAO) is the independent complaint mechanism and fact-finding body for people who believe they are likely to be, or have been, adversely affected by an IFC or MIGA- financed project. If you submit a complaint to the CAO, they may assist you in resolving a dispute with the company and/or investigate to assess whether the IFC is following its own policies and procedures for preventing harm to people or the environment. If you want to submit a complaint electronically, you can email the CAO at CAO@worldbankgroup.org You can learn more about the CAO and how to file a complaint at http://www.cao-ombudsman.org

How it works

How it works