Cepsa has signed the extension of expiration from his syndicated line of credit (RCF) of €2 billion until September 2027 with 18 financial institutions and, for the first time, has agreed that its conditions economic are linked to the fulfillment of environmental and social indicators.
This operation demonstrates the continued support that Cepsa has received from the financial community, as well as the strategy Positive Motion of the company and its commitment to the energy transition.
Two of the key indicators are linked to the Cepsa’s carbon emission targets for 2030: the progressive reduction of scope 1 and 2 emissions to achieve a 55% decrease in 2030 compared to 2019, and a 15-20% decrease in the carbon intensity index in its sales of energy products, which includes the scopes 1, 2 and 3. In addition, a third indicator has been established that covers Cepsa’s gender diversity objective, which aims for 30% of leadership positions to be occupied by women in 2025.
Cepsa’s care for the environment
As part of the financing agreement, Cepsa and its syndicate of banks have agreed to donate 100% of the price adjustment, with each party designating the destination of said donation on an equal basis. The donation mechanism is equivalent to an adjustment of the credit margin, in which the achievement of each key indicator determines whether the donation is made by Cepsa, the banks, or divided between them.
Cepsa has committed to donating 50% of said adjustment to Cepsa Foundationwhich works on the development of projects to improve the medium environment and the biodiversity, as well as in the environment of social action and the promotion of gender diversity. The bank syndicate, for its part, has also agreed to channel its portion of the donation through a foundation or non-profit organization.
Carmen de Pablo, Cepsa’s CFO, stated that: “This first sustainable financing of Cepsa shows the determination to align our financial and sustainability objectives, placing sustainability criteria at the center of our financing and investment decisions, as well as our daily operations . We are fully committed to transforming our business so that it responds to the challenge of net zero, also ensuring that Cepsa is a diverse and inclusive workplace. In addition, we are pleased to see that, by working closely with our syndicate of banks, we have been able to achieve a unique combination in the syndicated financing market, in which Cepsa and its group of banks have agreed to proportionally donate 100% of the adjustment of interests to environmental and social projects”.
BBVA and Natixis Corporate & Investment Banking have acted as coordinators of this operation.
In this decade, Cepsa is going to make investments of between 7,000 and 8,000 million euros within the framework of its Positive Motion strategy to promote energy transition and become a leader in mobility sustainable and the production of green hydrogen y biofuels in spain y Portugal.
In addition to this credit line of 2,000 million euros, Cepsa will continue to align its financing strategy through other financial instruments, linking them to its sustainability objectives, to accompany the execution of energy transition projects as part of its Positive Motion strategy.