Agrochemical Firm Seeks India’s First Sustainability-Linked Loan
- UPL launched $500 million five-year sustainability-linked debt
- Such loans are having busiest start ever to year in 2021
This article is for subscribers only.
The recent trend of companies linking the cost of loans to sustainability and social-responsibility goals has arrived in India.
Agrochemical firm UPL Ltd. launched the first dollar term loan by an Indian borrower targeted at investors with an interest margin that rises or falls based on environmental, social and governance targets, according to data compiled by Bloomberg. Sustainability-linked borrowings offer access to lower-cost ethical funding, while avoiding some of the restrictions for use of proceeds found in green debt.