Standard Bank and Woolworths conclude SA’s first sustainability-linked deposit deal
12 Oct 2022
Country
South Africa
Year
2022
Sector
Consumer
Business Unit
Sustainable Finance
Specific Role
Deal originator: Sustainability solutioning team
Standard Bank is proud to announce that it has once again partnered with Woolworths to support the company’s Good Business Journey by executing the first sustainability-linked deposit deal in South Africa.
The bank had previously partnered with Woolworths to execute other ESG-linked deals, which included a R1.15-billion loan and a R600-million working capital facility, both of which are linked to the retailer’s sustainability targets.
The transactional deposit structure links the interest Woolworths earns on their deposits to the achievement of environmental, social and governance (ESG) targets. The key performance indicators and sustainability performance targets agreed between Woolworths and Standard Bank cover both Woolworths’ Food and Fashion, Beauty and Home (FBH) businesses, with a focus on increasing local sourcing of FBH products, a continued focus on sustainability attributes in food products and the reduction in electricity usage in corporate stores.
Standard Bank is honoured to have partnered with Woolworths in this milestone transaction and is committed to developing funding solutions that encourage and reward the right behaviour from businesses.