Standard Bank provides CNBM with a R600-million sustainable finance solution

The funding package consists of a R500-million invoice financing facility and a R100-million working capital facility. This is the first sustainable finance invoice financing facility that Standard Bank has concluded with a client, and the solution will see CNBM reporting annually on key impact metrics.

Standard Bank is committed to playing an active role in driving the nation’s renewable energy transition and assisting in alleviating the challenges of load shedding on businesses and households. Additionally, contributing towards positive social, economic and environmental impacts on the continent has been a key objective for the bank, and this transaction is aligned to our Climate Policy, which focuses on unlocking economic growth potential in Africa through accelerated sustainable finance mobilisation.

With an on-the-ground presence in 20 markets on the continent, Standard Bank has cemented its position as a key stakeholder with the necessary expertise to drive Africa’s just energy transition from fossil fuels to environmentally friendly alternatives such as solar and wind energy.

Echoing our efforts, Jonathan Zhang, senior vice president of Transaction Bank, Standard Advisory (China) Limited, said, “Our ambition is to be the leading enabler and go-to financial services provider for the energy transition on the African continent, delivering diverse, innovative and sustainable solutions to our clients and stakeholders. The success of this transaction will enable CNBM to distribute solar and energy storage solutions in South Africa, thus assisting to mitigate the social and economic impact of load shedding.”

George Karamitsos, Manager, Sustainable Finance at Standard Bank Group, said, “Following the successful closure of this R600-million sustainable finance solution, our partnership with CNBM will help foster a positive environmental and socio-economic impact for the development of South Africa.”

Xian Ping Qian, managing director at CNBM South Africa, added, “We are proud to be partnering with Standard Bank in facilitating South Africa’s renewable energy transition through the distribution of our solar and energy storage solutions into the country. The success of the transition will ensure that we realise our growth objectives as a company and that we are able to have a positive sustainable impact in South Africa.”

The energy sector is filled with opportunities to innovate and provide solutions that will transform the lives of South African citizens and grow the economy. Standard Bank is proud to have the opportunity to showcase its expertise in transactions of this nature and will continue to seek partnerships with likeminded businesses and stakeholders to bring much needed transformation and growth to the sector.