Companies showing ESG leadership are increasingly being awarded by investors and lenders. CDL’s strong ESG track record has enabled us to unlock alternative financing streams that can help lower the long-term borrowing cost and expand our pool of ESG-centric investors and lenders.
Building on CDL’s inaugural $100 million green bond issuance in 2017, CDL ventured into green and sustainability-linked loans in 2019 and received two green loans totaling $500 million from DBS Bank and HSBC to finance new property developments. In September 2019, CDL also secured a $250 million SDG Innovation Loan, an innovation-focused sustainability-linked loan from DBS Bank. A first-of-its-kind financing concept pioneered by CDL, the loan aims to accelerate innovative solutions that are aligned with one or more SDGs. CDL will be eligible for a discount on the loan’s interest rate when sustainability-related performance targets on our implemented innovations are achieved.
Our Sustainable Finance Framework abides to leading frameworks such as the Green Bond Principles, Green Loan Principles and Sustainability-linked Loan Principles. In recognition of our leadership in sustainable financing, CDL was invited to multiple local and international thought leadership events on sustainable financing, such as the International Capital Market Association 2019 Green and Social Bond Principles Annual General Meeting and Conference in Frankfurt and Singapore Fintech Festival 2019. Moving forward, CDL will continue to tap on sustainable financing to realise our vision of building sustainable and climate-resilient cities and communities.