Japanese banks offer ‘Ninja loan’ to Volvo Group

Japan's Mizuho Corporate Bank said on Friday it had arranged a $1.04 billion dollar syndicated loan for Sweden's Volvo Group.

The deal will be made through Volvo Treasury, which “has decided to use syndicated lending as a means of diversifying its funding source,” Mizuho said in a statement.

A total of 17 Japanese financial institutions are to participate in the loan.

For a major European firm, it is the first “Ninja loan”, a scheme under which Japanese lenders provide syndicated loans to overseas corporate borrowers, Mizuho said.

The Volvo Group is the world’s second largest manufacturer of heavy duty trucks and a leading provider of construction equipment, buses and other commercial products.