DKSH Ties CHF 315M Bank Loan to Sustainability Goals
DKSH, a prominent Market Expansion Services provider and trusted partner for businesses seeking growth in Asia and beyond, has taken a significant step by transforming its CHF 315 million bank loan into a sustainability-linked loan.
This conversion, facilitated by a consortium of seven banks, with ING Bank N.V., Singapore Branch, as the designated Sustainability Coordinator, marks DKSH's inaugural foray into sustainable financing.
By linking the interest terms of its CHF 315 million bank loan to ambitious sustainability targets, DKSH has successfully converted the loan into a sustainability-linked facility.
This strategic move aligns with DKSH's broader sustainability strategy, which includes goals such as enhancing gender diversity within its senior leadership team and achieving climate neutrality (Scope 1+2) by 2030.
The agreed-upon targets hold the potential for reduced borrowing rates for DKSH, while any failure to meet these targets would lead to higher borrowing rates. DKSH CFO Ido Wallach emphasised the significance of this loan conversion, stating that it demonstrates their commitment to sustainability as a central component of their corporate strategy.
Martijn Hoogerwerf, Head of Sustainable Finance APAC at ING, expressed satisfaction with partnering with DKSH in their sustainable finance endeavours and their shared pursuit of a greener future. ING's strong dedication to sustainability is reflected in this enhanced loan, serving as further evidence that sustainable finance can make a significant positive impact on the environment and communities.
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Source: DKSH
