RMB partners Shoprite in the provision of a R1.5bn loan facility

MEDIA RELEASE

22 AUGUST 2022

RMB enables Shoprite’s sustainability journey with R1.5bn combined green and sustainability-linked loan facility

RMB has partnered with  the Shoprite Group through the provision of a R1.5bn loan facility, to expand the retailer’s key environmental programmes as part of its wider sustainability strategy.

The loan facility consists of a R700m green loan (a first for the retail sector) and a R800m sustainability-linked loan, structured in accordance with Loan Market Association (LMA) green and sustainability linked loan principles respectively.

Proceeds raised from the green loan will be used to advance key initiatives including renewable energy, recycling of cardboard and plastic, sustainable packaging, and improved energy efficiency.

"The Shoprite Group has identified key programmes such as energy efficiency and renewable energy, as part of their contribution to mitigating climate change which will have impacts across its value chain. RMB is proud to partner with the Group through innovative finance products linked to improved sustainability and environmental performance,” says Phil Norton, Transactor, Sustainable Finance and ESG Advisory at RMB.  

“These loans  enable us to continue on the road to reduce our environmental footprint by using more renewable energy and sustainable packaging, and recycling more waste. These environmental programmes are key to our fight against climate change, and we are able to increase the pace and intensity of our actions with these loans,” says Sanjeev Raghubir, Group Sustainability Manager.

The Group’s record to date has provided funders with demonstrable evidence of the nature and scale of its sustainability project and ambitions, enabling the retailer to access a preferential cost of funding.

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Contact:

Kate Kelly l RMB l kate.kelly@rmb.co.za