Britvic has announced its first sustainability-linked credit facility to the tune of £400 million.
The five-year deal, which can be extended by a further two years, is co-ordinated by Rabobank and has been provided by a group of seven lenders.
The deal allows Britvic to borrow up to £400 million over the next five years whilst linking the margin of the facility to its sustainability goals. The better Britvic performs against these targets, the further the margin will reduce.
Britvic said it has committed to reaching these targets by 2025 under the terms of its sustainable business strategy.
The company’s sustainability targets include: 50 percent of all plastic bottles in Great Britain and Ireland to be made of recycled plastic (rPET), 50 percent reduction in carbon emissions (when compared to 2017) and making 75 percent of the drinks portfolio globally to be either low or no sugar.
Sarah Webster, sustainability director at Britvic, said: “This financing agreement is part of our commitment to embed sustainability at the heart of our business and drive real behaviour change.
“We’ve made progress against our sustainability ambitions, however there’s more to do and this is a significant commercial milestone in our journey. By linking financing to our goals, we can ensure that every penny we invest is done so with our sustainability targets in mind.”
