Siemens Gamesa has extended its syndicated financing facility, linking it to environmental, social and corporate governance (ESG) criteria.
The €2.5bn facility has been extended to the end of 2024, securing more flexible conditions due to its investment grade credit rating, securing commitments from 22 banks and being more than 50% oversubscribed.
The syndicated facility, arranged in May 2018 with various domestic and international banks, consists of a €500m loan and a €2bn, multi-currency, revolving credit facility, maturing in 2022 and 2024, respectively.
The funds will be used to finance “recurring activity”, which is now covered for the next five years.
Since Siemens Gamesa’s credit quality is rated as investment grade by the main rating agencies – Standard & Poor’s, Moody’s and Fitch – this has enabled the company to secure more flexible terms and conditions for its financing.
Company chief financial officer David Mesonero said: “Sustainability is a fundamental pillar for Siemens Gamesa’s entire business model, so we endeavour to ensure that all our financial operations are fully aligned with sustainability criteria.
“This further underpins our company’s commitment to the UN Sustainable Development Goals (SDGs) in relation to ‘Affordable and clean energy’ and ‘Climate action’, while also evidencing our commitment to creating a better future for people and for the planet.”