CDL clinches $338.2m sustainability-linked loan from OCBC
The loan is aligned to a 1.5°C pathway.
The company will use the three-year $338.2m loan for refinancing purposes, amongst others.
City Developments Limited (CDL) secured a $338.2m (£200m) sustainability-linked loan from OCBC, which is aligned to a 1.5°C pathway (OCBC 1.5°C loan).
The company will use the three-year sustainability-linked revolving credit facility (RCF) for refinancing, general corporate funding and working capital purposes.
CDL is the first corporation to obtain the OCBC 1.5°C loan, which has interest rate incentives pegged to annual decarbonisation performance targets.
Under the OCBC 1.5°C loan, corporates will get a reduced interest rate on their loans when they meet or exceed their annual targets.
“The reference pathways, developed by autonomous global organisations, are geared towards achieving a net zero level of greenhouse gas emissions (GHG) by 2050 to limit global warming to 1.5°C above pre-industrial levels,” CDL said.