Wilmar International Limited  and Crédit Agricole CIB recently announced the successful closure of a 2-year USD100 million Sustainability-Linked Facility. The margin of the facility will be dependent on Wilmar’s performance of the Sustainability-Linked Key Performance Indicators (KPIs). (Logo quoted from Yahoo's image)

This is the second Sustainability-Linked Facility Crédit Agricole CIB has issued to Wilmar, following the first loan in 2019. Unlike a conventional facility, the Sustainability-Linked Facility has a tiered discount mechanism whereby the achievement of each KPI is accorded a specified discount and the margin will be reduced by the aggregate of the discounts applicable for the KPI(s) achieved. 

The KPIs for this Sustainability-Linked Facility with Credit Agricole CIB have been carefully selected to make the most meaningful impact across Wilmar’s supply chain. They include Wilmar’s continued inclusion in the Dow Jones Sustainability Index (DJSI) Asia Pacific, achievements and/or improvements in benchmark rating by independent organisations and traceability targets. Wilmar is a sustainability frontrunner in the agri-food sector. 

In 2020, it was included in the DJSI Asia Pacific, which represents the top 20% of the 600 largest companies in the region based on long-term economic, environmental and social criteria. It is the only agribusiness amongst the five Singapore companies included in the DJSI Asia Pacific.

(IRuniverse)

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