T&G Global Announces Signing of Aotearoa, New Zealand’s First Sustainability-Linked Loan in the Horticulture Sector; Gareth Edgecombe and Doug Bygrave Share
NEW ZEALAND - A profound sustainability blueprint is in the works as T&G Global recently signed Aotearoa, New Zealand’s first Sustainability-Linked Loan in the horticulture sector, borrowing a three-year loan of $180 million.
“We’re committed to making positive changes and transitioning to a healthier and more sustainable future,” said T&G Chief Executive Officer Gareth Edgecombe. “Our Sustainability-Linked Loan and its ambitious targets demonstrate our commitment to embracing sustainable practices and meeting global consumer needs. This includes helping Aotearoa New Zealand transition to a low-carbon economy by decarbonizing our business and adapting to a changing climate, as well as building thriving local communities.”
According to a press release, the loan is among the first of its kind in New Zealand horticulture and commits T&G to a science-based greenhouse gas emissions reduction target. In addition, the loan requires the provider to develop a comprehensive climate risk adaptation plan to allow it to adapt to the impacts of climate change while creating permanent job opportunities and career pathways to boost regional development.
“At T&G, kaitiakitanga is a value we demonstrate every day, and it captures what sustainability means to us—treating the land, people, produce, resources, and community with the greatest of respect and care, as guardians of their future. This loan ensures we keep sustainability at the forefront of our business,” Edgecombe continued.
As part of the financing, T&G will pay lower loan costs based on its achievement of the sustainability targets, which include:
- Climate change adaptation
- Climate change mitigation
- Create permanent employment opportunities and career pathways
“T&G has a strong history of taking care of an environment we significantly rely on and looking after our people. We know the creation of permanent roles and the fostering of careers not only benefits individuals and families, but the benefits flow deep into local communities. By working with our principal banks Rabobank and BNZ as Joint Sustainability Co-ordinators, (as well as participation from HSBC and Westpac), we’ve structured a loan that sets clear and meaningful targets, which upon delivery, will deliver improved cost of capital and further embed sustainability within T&G,” said Doug Bygrave, Chief Financial Officer. “This loan incentivizes us to invest in climate change mitigation and adaptation activities. A key focus is the decarbonization of our transport fleet and glasshouses, as well as electricity efficiency. It’s a big challenge, and our targets in the loan reflect our ambition to limit our impact and adapt.”
Read more about the loan here. Stay tuned for more industry updates from ANUK.