Bunge closed on the refinancing of its $1.75 billion, three-year revolving credit facility. The interest rate under the 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 plan to eliminate deforestation in its supply chains by 2025.
BNP Paribas, Credit Agricole Corporate and Investment Bank, ING Bank, Natixis and Sumitomo Mitsui Banking Corporation served as active bookrunners, mandated lead arrangers and coordinators on the transaction. In addition, Natixis and BNP Paribas served as sustainability coordinators.
ANZ Banking Group, Banco Santander, Bank of China, Bank of Montreal, Citibank, Deutsche Bank, Industrial and Commercial Bank of China, Mizuho Bank, MUFG Bank, Rabobank, Royal Bank of Canada, Standard Chartered Bank, U.S. Bank and Wells Fargo Bank also acted as mandated lead arrangers and bookrunners for this transaction.
The transaction, which was completed through Bunge Finance Europe B.V., a wholly-owned subsidiary of Bunge Limited, refinanced the company’s existing facility, which was converted into Bunge’s first-ever sustainability-linked loan on Dec. 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. 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,” John Neppl, CFO of Bunge, said.