We are delighted to share the news of our first ESG-linked loans and appreciate our banking partners’ support in progressing this sustainability journey together.
Read further details in our press release below and online here: https://www.einpresswire.com/article/564383720/tricon-energy-executes-esg-linked-loans-to-bolster-its-sustainability-efforts
Tricon Energy (“Tricon”) is proud to announce the successful execution by its subsidiaries of $1.45 billion in total principal amount ESG-linked loans across two facilities in December 2021. The loans include the potential for borrowing costs to ratchet up or down depending on the extent to which Tricon improves its ESG performance, measured by the score received from EcoVadis, one of the world’s largest providers of business sustainability ratings. EcoVadis independently assesses Tricon on 21 criteria relating to environment, labor and human rights, ethics, and sustainable procurement. Linking the facilities’ costs to ambitious improvement targets is a further example of Tricon’s enhanced sustainability and ESG strategy, following the hiring of Chief Sustainability Officer, Elizabeth Carlson, in September 2021.
“Tricon is committed to improving our ESG performance and contributing to a future society that is more just, net zero, and circular,” said Ignacio Torras, CEO of Tricon. “The path to sustainability requires collaboration. We value our banking partners’ support in progressing this journey together.”
According to Aaron Franklin, Head of Sustainable Finance and Advisory Group at SMBC Americas Division, which acted as sustainability coordinator on each of the facilities, “We were proud to support Tricon’s efforts to rapidly accelerate its ESG program. Their success in implementing these facilities is a testament to the market’s appreciation of Tricon’s strategy to thrive in the ever-changing sustainability landscape.”
Yulia Solomina, Director at Sustainable Finance EMEA at ING, which acted as sustainability coordinator on one of the facilities, said, “Issuing an ESG-Linked Loan serves to advance many sustainability related ambitions of Tricon and underlines its strong commitment to further improve on sustainability. Tricon’s strategic direction together with the assessment by EcoVadis provides the company with a concrete plan for sustainable actions, with ESG rating serving as an independent benchmark to measure and validate Tricon’s continuous improvement.”
SMBC acted as lead Sustainability Coordinator for the first facility with Societe Generale acting as Facility Agent. SMBC and ING were Sustainability Coordinators for the second facility with MUFG as Administrative Agent.