Nedbank Corporate and Investment Banking (CIB) has announced the successful conclusion of a R1 billion sustainability-linked revolving credit facility (SL RCF) for the international logistics company Imperial Logistics (Imperial). This is Imperial’s first-ever sustainability-linked credit facility and was structured by Nedbank’s Leveraged and Diversified Finance Team in collaboration with the Sustainable Finance Solutions Team and Client Coverage.
Brad Maxwell, Managing Executive: Investment Banking at Nedbank CIB, says the conclusion of the facility is further evidence of the bank’s ability to partner with its clients in respect of their sustainability journeys and is yet another demonstration of Nedbank’s expertise in delivering innovative solutions for its clients to assist in the unlocking of their sustainability objectives.
Imperial, which has operations mainly in Africa and Europe, approached Nedbank CIB earlier this year to consider innovative funding alternatives that align to its focus on ESG (Environmental, Social and Governance). “Through active engagement with Imperial on its ESG strategy and debt financing requirements, we developed a R1 billion sustainability-linked debt instrument under which Imperial aims to deliver on mutually pre- agreed sustainability performance targets over the debt term,” says Maxwell.
According to Maxwell, the bank increasingly uses environmental, social and governance (ESG) indicators to identify opportunities it can progress in partnership with its clients. The Imperial transaction is an example of one such opportunity and has been implemented at a time when Imperial is focusing its business operations to become the logistics and market access gateway to Africa.
Mohammed Akoojee, Group Chief Executive Officer at Imperial, says, “As Imperial, we are proud to announce this milestone in our long-standing relationship with Nedbank. We thank Nedbank for being a valued partner to Imperial over the years and for supporting us in progressing our ESG journey.”
Akoojee adds that the facility demonstrates Imperial’s confidence in achieving its financial and ESG ambitions. This transaction is testament that Nedbank continues to be a trusted advisor and key banking partner for Imperial.