Bunge has closed on the refinancing of its $1.75 billion, three-year revolving credit facility.
The interest rate under this facility is linked to the company’s credit ratings and also to five core sustainability targets, which include the recently established science-based targets (SBTs) that define Bunge’s climate goals within its operations and reinforce the company’s commitment to eliminate deforestation in its supply chains by 2025.
The transaction, done through Bunge Finance Europe B.V., a wholly owned subsidiary of Bunge Limited, refinances the company’s existing facility which was converted into Bunge’s first ever sustainability-linked loan on December 16, 2019.
“As an early adopter of sustainability-linked loan mechanisms, we created a meaningful connection between Bunge’s capital structure and our sustainability strategy," says John Neppl, Bunge’s chief financial officer.
"We are pleased with the progress our team is delivering against our annual ESG targets, which gives us the confidence to enhance the targets linked to this facility. We will continue to focus on bringing forward sustainable business solutions everywhere we have a presence and where we can effect positive change."
