Sustainability-linked facility is a significant step towards Mowi’s goal of 100 per cent green or sustainable financing.
On Monday Mowi announced the signing of a €1.8 billion 5-year sustainability-linked credit facility agreement with a banking consortium consisting of DNB, Nordea, Rabobank, ABN AMRO, Danske Bank, Skandinaviska Enskilda Banken and Crédit Agricole.
The agreement cements the terms that were agreed in a term sheet at the end of June.
The interest rate on the facility is linked to Mowi’s operations linked to the sustainability CPI, which is in line with Mowi’s general ESG strategy, and sustainability-linked loans are a step towards Mowi’s goal of 100 per cent green or sustainable financing.
The most important financial covenant (loan condition) is an equity ratio of at least 35 per cent, and the agreement includes an option that gives the parties flexibility to agree to increase the size of the credit facility by a further €300 million during the term of the loan agreement.