UltraTech Cement on Monday said it has successfully raised $500 million through a sustainability-linked loan with participation from six banks.
The company added that the transaction marks the second sustainability-linked financing raised by UltraTech, following its inaugural sustainability-linked bond issuance in 2021.
“This financing signifies UltraTech’s ongoing commitment to align its funding strategy with its sustainability and environmental, social, and governance (ESG) goals,” the press note said.
Sumitomo Mitsui Banking Corporation (SMBC) acted as the sole sustainability coordinator for this transaction and served as the sole advisor on UltraTech’s Sustainability-Linked Financing Framework. Lenders for the transaction include SMBC, SBI, BNP Paribas, DBS, MUFG, and Mizuho.
The Sustainability Performance Targets (SPTs) include the reduction of Scope 1 emissions, measured in kgCO2 per tonne of cementitious material (kgCO2/t.cem), by 27 per cent by March 31, 2032, from an FY17 baseline. Further, it involves increasing the share of green energy from waste heat recovery systems (WHRS), solar, and wind power in its total energy mix to 85 per cent by FY30 and 100 per cent by FY50.
First Published: Aug 26 2024 | 7:06 PM IST
