DKSH has converted its existing CHF 315 million bank loan into a sustainability-linked loan by tying the interest terms to its ambitious sustainability targets. These targets are consistent with DKSH's overall sustainability strategy to increase gender diversity in its senior leadership team and become climate neutral (Scope 1+2) by 2030.
Zurich, Switzerland, May 22, 2023 – DKSH, a leading Market Expansion Services provider and trusted partner for companies looking to grow in Asia and beyond, has for the first time converted an existing CHF 315 million bank loan into a sustainability-linked loan. The conversion of the five-year loan was signed by a syndicate of seven banks, with ING Bank N.V., Singapore Branch, acting as the Sustainability Coordinator.
Achieving the agreed-upon targets would result in lower borrowing rates for DKSH, whereas failure to reach the targets would equally entail higher borrowing rates.
Ido Wallach, DKSH CFO, stated: “With the conversion of this loan, DKSH links its financing terms for the first time to sustainability targets. This bold step confirms our commitment to sustainability as a centerpiece of our corporate strategy.”
Martijn Hoogerwerf, Head of Sustainable Finance APAC, ING, commented: “We are pleased to partner with DKSH in their sustainable finance ambitions and pursuit of a green future. ING remains strongly committed to sustainability and the enhanced loan is another proof point that sustainable finance can play a key role creating positive impact for our environment and communities.”