Corporate and Investment
Standard Bank supports Motus’s ESG goals
30 Jun 2022
Country
South Africa
Year
2022
Sector
Diversified Industries
Business Unit
Corporate and Investment Banking
Specific Role
Mandated lead arranger, bookrunner and sustainability coordinator
Standard Bank is proud to announce that it has successfully led the arrangement of a ZAR6-billion sustainability-linked term facility and a ZAR800-million sustainability-linked working capital facility for Motus, the first ZAR-based sustainability-linked funding in the South African automotive sector.
Motus is a diversified (non-manufacturing) business in the automotive sector with unrivalled scope in South Africa and an international presence in the United Kingdom, Australia, South-East Asia, and Southern and East Africa.
Standard Bank acted as the mandated lead arranger, bookrunner and sustainability coordinator, and brought together market participants to successfully syndicate its first ZAR-based sustainability-linked funding in South Africa.
Standard Bank partnered with Motus to create a financing solution that supports the company’s growth ambitions while also providing Motus with an added incentive to align with its ESG commitments. Sustainability-linked loans are designed to tie the terms of funding to ESG outcomes to support and incentivise responsible corporate behaviour and the creation of shared value.
The ZAR6.8-billion funding package highlights the importance of Motus’ environmental, social and governance (ESG) journey. This deal will enable the company to achieve its key performance indicators (KPI) and set targets that prioritise road fuel consumption, water consumption, electricity efficiency and gender equality to drive diversity and inclusion.
This partnership is a testament to Standard Bank’s commitment to mobilise between ZAR250 billion and ZAR300 billion in sustainable finance by the end of 2026 in an effort to transform the South African economy.
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