DBS Hong Kong, Haier Group sign $3.11b ESG-linked loan

The group will commit to reducing its energy consumption per business unit.

Haier Group has signed its first environmental, social, and governance (ESG)-linked term loan facility worth around $3.11b (US$400m) in line with its promotion of “sustainable development and a greener future,” DBS Hong Kong said in a statement.

DBS Hong Kong said it will serve as the company’s sole lender and sustainability advisor during the loan’s one year tenor.

Haier Group will reduce its energy consumption per business unit throughout the one-year tenor, DBS Hong Kong.

“Our first ESG-linked loan with DBS Hong Kong demonstrates Haier’s commitment to ESG. Going forward, Haier will strive to bolster the implementation and adoption of our ESG goals,” Xinzhi Shao, vice president and chief financial officer of Haier, said.

Haier’s sustainability roadmap aims to provide its customers with “more energy-efficient products underpinned by innovation to help tackle climate change.”

Haier Smart Home follows the “6-Green '' strategies which are green design, green manufacturing, green operation, green recycling, green disposal, and green purchase” which uses low carbon and reduces emission in the products life cycles and daily operations.

$1 = US$0.13