Vestiaire Collective Secures 75-Million-Euro Sustainability-Linked Revolving Credit Facility
Luxury fashion resale platform Vestiaire Collective has signed a 75-million-euro sustainability-linked revolving credit facility (RCF) from Crédit Agricole CIB, Société Générale, HSBC Continental Europe, Bank of America, and Goldman Sachs. The facility has an initial term of three years, which can be extended by two years.
Even though Crédit Agricole CIB is also the acting ESG coordinator, Société Générale has added the role of facility and security agent to its duties.
In a press release, Vestiaire Collective says, "This newly-signed RCF shows that the company is committed to sustainability because it could offer lower interest rates based on how well it meets key ESG targets, such as reducing its GHG emissions."
The resale platform added that the facility would provide it with greater flexibility to continue growing its business in Europe, the US, and Asia Pacific, especially following its acquisition of a peer-to-peer resale marketplace for women’s clothes, Tradesy, in April 2022 and the launch of its operations in South Korea in July 2022.
The overarching goal is to “accelerate on delivering its mission to transform the fashion industry for a more sustainable future”. Vestiaire Collective made headlines a couple of weeks ago when it announced the decision to stop selling fast fashion items.
Source: Fashion United