Commercial, Finance - September 27, 2023
Bell Canada Adds Sustainability-linked Pricing to Securitization Program
Bell Canada announced it amended its existing Cdn $2.3 billion securitization program to add sustainability-linked pricing.
These amendments follow the announcement of BCE's Sustainable Financing Framework in April 2021, Bell's inaugural Cdn $500 million Sustainability Bond offering in May 2021 with proceeds allocated to eligible green and social investments, the conversion of Bell's Cdn $3.5 billion committed credit facilities to a sustainability-linked loan in November 2022, and execution of its first sustainability-linked derivatives in May 2023.
"We are pleased to announce the closing of amendments to our securitization program to add sustainability-linked pricing,” said Eleanor Marshall, SVP & Treasurer of BCE and Bell, in a statement. "These amendments align with our ESG strategy and objective to make a positive impact and contribute to a better future through our Bell for Better initiatives, while working to create a thriving and more prosperous world."
The amendments introduce an annual pricing adjustment that reduces or increases the financing cost based on Bell's performance of two key annual sustainability performance targets (SPTs) related to the following Bell science-based GHG targets:
- Reducing absolute Scope 1 and 2 GHG emissions 58% by 2030 from a 2020 base year and
- Reaching 64% of its suppliers by spend, covering purchased goods and services, having science-based targets by 2026.