Proceeds from the green loan will be used to finance Mapletree Logistics Trust's working capital requirements in line with the eligibility criteria of its newly established Green Loan Framework.
OCBC has become the green loan advisor and sole lender for a S$200 million ($150.83 million) green revolving credit facility issued to Mapletree Logistics Trust, bringing it closer to its goal of a S$25 billion sustainable finance portfolio by 2025, the bank said in an announcement on Tuesday.
MLT previously inked a S$200 million sustainability-linked loan with OCBC Bank, which was designed to incentivise the company to expand the renewable energy generation capacity for its portfolio.
«The continued commitment from like-minded corporates like Mapletree Logistics Trust is not just important for sustainable financing’s growth, but also contributes to the larger goal of developing low-carbon, smart cities,» Elaine Lam, OCBC head of global corporate banking, said.
Sustainable Finance Commitment
OCBC Bank previously announced its aim to build a sustainable finance portfolio totalling S$10 billion by 2022, with a focus on initiatives related to environmental, social and governance (ESG); renewable energy; water; and green transportation.
Given that it surpassed this target in the first quarter of 2020, two years ahead of its schedule, the bank raised its goal to S$25 billion by 2025.
As at 31 December 2020, MLT had a portfolio of 156 logistics assets in Singapore, Hong Kong, Japan, China, Australia, Malaysia, South Korea and Vietnam, with assets under management of S$10.2 billion.
