Vestas Signs New EUR 2,000M Sustainability Linked Revolving Credit Facility

Source: www.gulfoilandgas.com 4/29/2021, Location: Europe

Vestas has signed a EUR 2,000 million revolving multi-currency credit facility with a group of leading banks. The facility’s margin will be closely linked to Vestas’ sustainability KPIs, and will support Vestas’ ambitions to accelerate the deployment of renewable energy, and drive technological innovation.

The facility, which is available for general corporate purposes, including guarantees issuance in relation with wind power projects, carries a five-year tenor with two one-year extension options, replacing Vestas’ undrawn EUR 1,150 million revolving credit facility signed in 2017.

The successful transaction, concluded following the assignment of a strong credit rating of Baa1 from Moody´s, underlines a growing confidence in Vestas’ continued financial and operational transformation, as well as in the significant projected growth of renewable energy in the near future.

The renewed facility will be key in supporting Vestas’ work with driving deployment, and evolving new technology, as well as supporting increased sustainability performance across Vestas’ value chain.

Directly linked with Vestas’ sustainability strategy entitled “Sustainability in everything we do”, the facility’s interest rate margin will be adjusted based on sustainability-linked performance targets, marking the first time Vestas has engaged with sustainability-linked financing. These targets measure Vestas’ ability to reduce its own carbon footprint and enhance workplace safety while subsequently adding ambitious targets to improve the carbon footprint across its supply chain. Performance targets will also cover ambitions around more sustainable materials use, and increased recyclability across the turbine value chain.

Marika Fredriksson, Executive Vice President and CFO of Vestas states “At Vestas, we are striving to accelerate the deployment of renewable energy by building scale and driving growth across our business. We are also committed to ensuring this growth safeguards the interests of future generations, and supports a more sustainable planet. Following the strong credit rating from Moody’s obtained earlier this year, strengthening our financial capabilities is the next natural step in this journey, and linking interest rates margins with Vestas’ sustainability performance reinforces our ambition to integrate sustainability into everything we do”.

Lisa Ekstrand, Senior Director and Head of Sustainability at Vestas says: “With this sustainability linked loan agreement, Vestas is demonstrating the inherent value in combining our commercial and sustainability strategies. We can now further strengthen our ability to improve sustainability performance, both across our direct operations, and across our indirect footprint. This journey is crucial to achieving Vestas’ vision: to build sustainable energy systems through our growing leadership position within renewables.”

HSBC Continental Europe SA and Skandinaviska Enskilda Banken AB acted as Co-ordinating Mandated Lead Arrangers and Bookrunners for the transaction. In addition, Banco Santander, Citi, DNB, Nordea, Societe Generale and Unicredit joined as Mandated Lead Arrangers and Bookrunners, and BNP Paribas, Danske Bank, JP Morgan and Standard Chartered joined as Mandated Lead Arrangers.

HSBC was the Documentation Agent for the facility. SEB is the Facility Agent and Sustainability Advisor.


Cameroon >>  1/14/2022 - Tower Resources plc, the AIM listed oil and gas company with its focus on Africa , is pleased to announce that it has raised £1.5 million via a placin...
United States >>  1/13/2022 - Fundamental Renewables, formerly MMA Energy Capital, an established provider of debt financing for renewable energy projects, and Pine Gate Renewables...

Norway >>  1/11/2022 - Based on a preliminary review, PGS expects to report Revenues and Other Income As Reported according to IFRS for Q4 2021 of approx. $210 million, comp...
Russia >>  1/11/2022 - PJSC LUKOIL Board of Directors today held a meeting in Moscow to summarize the Company's preliminary results for 2021 and determine priorities for 202...

United Kingdom >>  1/11/2022 - The UK oil and gas industry will pay about £3 billion in extra Corporation Tax because of the global rise in gas prices – without any need for a windf...
United Kingdom >>  1/11/2022 - Union Jack Oil, a UK focused onshore hydrocarbon production, development and exploration company, has announced that material landmark net revenues ha...




Gulf Oil and Gas
Copyright © 2021 Universal Solutions All rights reserved. - Terms of Service - Privacy Policy.