Commercial, GHG Emissions, Finance - February 18, 2021
Anheuser-Busch pursues energy goals with $10B sustainability credit facility
Anheuser-Busch InBev announced Feb. 18 that it signed a new $10 billion Sustainability Linked Loan Revolving Credit Facility that will contribute to it achieving its goals in renewable energy and emissions reduction.
The new contract will replace an existing $9 billion Revolving Credit Facility and is the first of its kind among publicly listed alcohol beverage companies. The pricing mechanism of the facility incentivizes performance in four key areas in line with the company’s 2025 sustainability goals: increasing water efficiency, increasing recycled content in packaging, sourcing renewable energy in line with RE100 and reducing greenhouse gas emissions.
“We are excited by the further integration of sustainable finance principles into the capital markets and welcome the opportunity to embed these practices deeper into both our finance organization and the broader company,” Fernando Tennenbaum, AB InBev CFO, said in a statement. “Our business is closely tied to the natural environment, and it is imperative that we continue to strengthen our leadership in addressing the increasing threats of climate change. Our business and our communities depend on it.”
The facility has an initial five-year term that has the potential for a two-year extension and is provided by a consortium of 26 leading global financial institutions.