Clifford Chance advises IFC on two sustainable finance projects worth a combined US$175 million
2 July 2024
- Vicky Ma, Anthony Chan, Timothy Nip, Thomas England, Josephine Tang, Graham Brewer, Greg Jehle
- Hong Kong, Singapore, Dubai, Abu Dhabi, London
Clifford Chance advises IFC on two sustainable finance projects worth a combined US$175 million
Global law firm Clifford Chance has advised the International Finance Corporation (IFC), a member of the World Bank Group, on two sustainable finance projects in the emerging markets worth a combined US$175 million. This involves a US$75 million loan made to global supply chain services provider Li & Fung and a US$100 million debt finance package to global apparel industry manufacturer EPIC Group.
The US$75 million loan to Li & Fung and its affiliate LFX's supply-chain fintech company, Air8 will bolster their working capital and broaden their range of supply chain solutions and financing services for apparel and general merchandise suppliers, especially SMEs. The loan is expected to drive economic growth and job creation in developing economies such as Bangladesh, Cambodia, China, Indonesia, Sri Lanka, and Vietnam. IFC will also collaborate with Li & Fung to enhance environmental and social practices among its suppliers.
The US$100 million financing package for EPIC Group comprises a US$70 million sustainability-linked loan and a US$30 million green loan structured with corporate sustainability performance targets in reducing greenhouse gas emissions intensity, decreasing freshwater intensity, and increasing the representation of women in management. The package will support EPIC Group's expansion in Bangladesh, the construction of a new manufacturing facility in India, various technology enhancements aimed at improving energy and water efficiency and create an estimated 10,500 direct and 17,000 indirect jobs across the two countries.
Lead partner Vicky Ma said, "These loans demonstrate the potential of sustainable finance to revolutionise supply chains, mitigate environmental impact, and promote socially responsible economic development on a global scale. Our collaboration with IFC underscores our commitment to advancing sustainable growth and supporting the vital work they do in emerging markets."
Vicky led both matters with support from a core team in Hong Kong consisting of senior associate Anthony Chan and associate Timothy Nip. The team also includes a wider team of lawyers:
- Advising IFC on the Li & Fung transaction:
- Singapore partner Thomas England, associate Josephine Tang and trainee solicitor Myles Henry;
- Advising IFC on the EPIC Group transaction:
- Partner Graham Brewer (Dubai), senior associate Greg Jehle (Abu Dhabi), and trainee solicitors Philippe Mattoo (Abu Dhabi), Jonathan Ling (Hong Kong) and Francesca Spittal (London).
These matters build on Clifford Chance's extensive track record of handling sustainable financing agreements globally, such as advising Asia’s first sustainability-linked perpetual securities, Asian Development Bank financing a carbon offset project in India, the world's largest Orange Bond by Impact Investment Exchange, South East Asia's first public sustainability-linked bond issuance by Surbana Jurong Group and Bayfront Infrastructure’s US$410 million infrastructure asset-backed securities.
高伟绅就两个总额1.75亿美元的可持续发展金融项目为国际金融公司提供法律服务
国际律师事务所高伟绅就两个总额为1.75亿美元的新兴市场可持续发展金融项目为世界银行集团成员国际金融公司 (International Finance Corporation, IFC) 提供法律服务。交易涉及向全球供应链服务提供商利丰提供7,500万美元贷款和向国际服装行业生产商EPIC集团提供1亿美元债务融资。
向利丰及其关联方LFX的供应链金融科技公司Air8提供的7,500万美元贷款将充实其运营资本,并扩大向服装和百货供应商(特别是中小企业)提供供应链解决方案和融资服务的范围。相关贷款将促进孟加拉国、柬埔寨、中国、印尼、斯里兰卡和越南等发展中国家的经济增长并创造本地工作机会。国际金融公司还将与利丰合作改善其供应商之间的环境和社会实践。
向EPIC集团提供的1亿美元融资包括一笔7,000万美元的可持续发展挂钩贷款和一笔3,000万美元的绿色贷款,上述贷款以降低温室气体排放强度、降低淡水强度和提高妇女在管理层中的比重为公司可持续发展表现目标。贷款将为EPIC集团在孟加拉国扩张业务、在印度建设新制造厂和进行旨在提高能源和用水效率的各类技术更新提供支持,上述活动将在两个国家创造约10,500个直接工作岗位和17,000个间接工作岗位。
牵头合伙人马颖琪表示:上述贷款交易显示了可持续发展融资在全球范围内改革供应链、降低环境影响和促进对社会负责任的经济发展的潜力。我们与国际金融公司的合作证明了我们致力于推进可持续增长和支持国际金融公司在新兴市场的重要工作的承诺。
以上两项交易由合伙人马颖琪牵头负责,香港核心团队成员陈国栋和聂智峰为上述交易提供支持。团队成员还包括:
- 就利丰交易为国际金融公司提供法律服务:
- 新加坡合伙人Thomas England、 Josephine Tang 和Myles Henry;
- 就EPIC集团交易为国际金融公司提供法律服务:
- 合伙人 Graham Brewer (迪拜)、 Greg Jehle (阿布扎比)、Philippe Mattoo (阿布扎比)、凌家俊 (香港) 和 Francesca Spittal (伦敦)。
高伟绅拥有在全球范围内处理可持续发展融资协议的丰富经验,其中包括为亚洲第一项可持续发展挂钩永续债券提供法律服务、就亚洲开发银行为印度一个碳抵消项目提供融资提供法律服务、为Impact Investment Exchange发行全球金额最大的橙色债券提供法律服务、为Surbana Jurong Group公开发行东南亚第一项可持续发展挂钩债券提供法律服务以及为Bayfront Infrastructure发行4.1亿美元基础设施资产担保证券发行提供法律服务。