- Globavend Holdings (GVH, Financial) has received approval-in-principle for up to $900,000 in non-dilutive grant funding from Hong Kong's BUD Fund.
- The funding will support the company's expansion into the Chinese market without impacting its capital structure or diluting shareholders.
- The BUD Fund is a government initiative with approximately $770 million to aid Hong Kong enterprises in scaling operations and modernizing infrastructure.
Globavend Holdings Limited (Nasdaq: GVH), a rising e-commerce logistics provider, has announced that it has secured approval-in-principle for a non-dilutive grant of up to $900,000 from Hong Kong's Dedicated Fund on Branding, Upgrading and Domestic Sales (BUD Fund). This strategic financial boost aims to support Globavend's expansion efforts into the burgeoning Chinese market, with funding allocated to enhance operational efficiency and infrastructure development without the burden of repayment.
The BUD Fund, with an allocation of roughly $770 million, was instituted by the Hong Kong government to aid local businesses in capitalizing on opportunities presented by China's 12th Five-Year Plan. It seeks to empower Hong Kong enterprises to extend their market reach, enhance their operational capabilities, and modernize their infrastructure.
Globavend's CEO, Frank Yau, expressed confidence in the company's eligibility for the funding and emphasized the potential to expand swiftly into China. He noted that the company's existing operations in Australia, New Zealand, and Hong Kong provide a robust model that will now extend to China, leveraging geopolitical shifts that highlight Australia as a key logistics hub.
This non-dilutive funding will allow Globavend (GVH, Financial) to pursue its strategic growth objectives without altering its capital structure, offering a potential competitive advantage in the fast-evolving e-commerce logistics sector.
