Treasury Management Internation Logo

Standard Chartered and ICG Announce €1.45bn ESG Linked Subscription Facility for ICG Europe Fund VIII

Published 

London – Standard Chartered Bank and Intermediate Capital Group Plc (“ICG”) have announced today that they successfully closed an initial €1.45bn ESG linked subscription facility for ICG Europe Fund VIII (the “Fund”). The lending group comprises Standard Chartered Bank, BNP Paribas, ANZ Banking Group Limited, ING Bank, and Royal Bank of Canada.

The facility will serve as a key source of liquidity for the Fund, which is dedicated to investing in mid to upper middle market European businesses.

ICG recognises that environmental, social and governance issues can be a key driver of investment value and  that investors have a vital and unique role to play in supporting private companies to reduce their emissions and drive the transition to a net zero economy. These values are reflected in the facility structure which integrates ICG’s ESG and climate ambitions to deliver sustainable outcomes.

Under the sustainability framework, portfolio companies will be required to set ambitious emission reduction targets aligned with a Science Based Target (SBT). SBTs are carbon emission targets aligned with the goals of the Paris Agreement – this is a market leading initiative that sets ICG apart in its ambition to mitigate climate change. SBT’s play a vital role in efforts to decarbonise investment portfolios and support the transition to Net Zero. In addition, the Fund will implement ICG’s enhanced ESG Engagement Strategy which focuses on driving performance improvement across three key themes: climate change, employee engagement and diversity and inclusion. ICG’s Engagement Strategy incorporates best practice and is anchored by key metrics, aligned with the Sustainable Finance Disclosure Regulation.

Benoît Durteste, CIO and CEO at ICG, commented: “I am delighted to announce the signing of the Fund VIII ESG linked subscription facility, which is market-leading in its ESG and climate ambition. In the lead up to COP26, the stakes have never been higher, and we are proud to be at the forefront of climate related initiatives in our industry. “

Eimear Palmer, Head of Responsible Investing at ICG, added: “Today’s announcement further underpins our long-standing ambition and commitment to effecting change with regards to climate. ICG is proud to be a founding member of the UK network of the iCI (Initiative Climate International) and we have been actively engaging with our portfolio companies to reduce their carbon emissions. We look forward to working with Fund VIII portfolio companies as we take our commitment to the next level and successfully deliver on these ambitious targets.”

Clare Francis, Regional Head, Client Coverage, Europe, CCIB, at Standard Chartered added: “At Standard Chartered we pride ourselves on being able to support our Private Equity clients as they drive their financing strategies in a sustainable way. This sector has a big role to play in achieving the sustainable development goals. Supporting sustainable economic growth is key to our core value of here for good.”

Standard Chartered Bank acted as Coordinator, Mandated Lead Arranger, ESG Coordinator and Facility Agent. Allen & Overy acted as Lenders counsel and ICG was advised by Ashurst LLP.

Most recent episodes

Trends in RFPs and RFIs: What Treasurers Want

Eleanor Hill (TMI) invites Dick Oskam and Bert Van Drie (ING) into the TreasuryCast hotseat to find out what trends treasurers want to see emerge from the Request for Proposal (RFP) and Request for Information (RFI)...

33:16

Creating a Connected Financial Office

When data flows are connected, it’s so much easier to make quick and accurate decisions. This is the principle behind the notion of the connected financial office. In this podcast, Gareth Priest (Bottomline Technologies) provides informed advice on how...

18:34

Journeys to Treasury: Managing Changing Perspectives

For this special edition of TreasuryCast, we showcase the results of the Journeys to Treasury 2021-22 report. Here, Jan Dirk van Beusekom (BNP Paribas) and Christian Mnich (SAP) offer Eleanor Hill (TMI) an informed view...

33:03

Cybersecurity for Treasurers

Cybercrime and fraud is on the rise and new attack vectors are emerging with alarming frequency. In this podcast, Nicolas Trimbour (BNP Paribas) and Laurent Sarrat (Sis ID) provide an overview of the latest tools and best practices treasurers should be employing...

37:53

A New Treasury Ecosystem: Open Banking, APIs, and BaaS

For this special edition of TreasuryCast, Eleanor Hill invites Peter Claus-Landi (GE) and Jared Smith (HSBC) to cover how key API-centric developments are changing the treasury landscape. With APIs significantly...

18:02

Using Data as the Corner for Finance Transformation

Many organisations face challenges in managing spend, payments, and cash effectively due to siloed processes and datasets across multiple departments. In this podcast, Ulrika Haug (Coupa) and Kim Estes (The Knot...

29:20

Realising Treasury’s True Value – A Strategy for Change

Join John Meehan (Froneri) to hear how Froneri utilised a year of no acquisitions and no meetings to implement a total transformation project through implementation of a TMS, unlocking the true value of his corporate...

49:14

Lessons from Innospec on Building a Strong Cash Culture

Without ready access to the key metrics of cash forecasting, Andrew Hawes (Innospec) knew the business could do little more than react to events. But without the collaboration of key stakeholders too, he knew that...

35:08

How to Make Your TMS the Ultimate Investment Tool

The right TMS can be a huge asset to treasury. But these one-stop shops often fall short when it comes to short term investment workflows. In this podcast, Ed Lopez, James Griffin (Calastone), Jeannot Jonas (Carrier...

01:24:00