Volvo Cars has just signed a new sustainability credit line with EUR 1.3 billion of funding.
The facility has the participation of 21 banks, has a duration of three years with two one-year extension options, and will serve as a backup facility for general corporate purposes.
The company follows a climate plan and wants to become environmentally neutral by 2040, so interest rate margins are linked to its progress in reducing its carbon emissions.
Carla de Geyseleer, Financial Director at Volvo Cars, explains, “This is a new credit facility that underlines the central role of the financial industry in stimulating and supporting sustainable development. Volvo Cars’ commitment to sustainable financing is reinforced following the recent success of our first Green Bonds emission”.
