DBS Bank (Hong Kong) has announced the successful completion of a HKD 1 billion ($128.4 million) sustainability-linked revolving loan facility (SLL) with MTR Corporation. The five-year loan supports MTR Corporation’s decarbonisation goals and demonstrates its commitment to environmental sustainability.
This facility supports Hong Kong’s public transportation sector, marking the first sustainability-linked loan aligned with Science Based Targets initiative (SBTi) approved decarbonisation goals. DBS Hong Kong played a pivotal role in structuring the loan and securing a positive Second Party Opinion from a rating agency, assuring investors of the appropriateness of the SBTi framework and the loan’s sustainability performance targets.
Boris Chan, Managing Director and Head of Institutional Banking Group at DBS Hong Kong, emphasised the significance of the partnership, “DBS Hong Kong is thrilled to collaborate with MTR Corporation on this landmark transaction. This SLL reinforces our commitment to sustainable finance while empowering MTR Corporation to achieve its decarbonisation objectives. Financial institutions have a vital role in advancing sustainable development, and we are proud to contribute to this mission.”
Michael Fitzgerald, Finance Director at MTR Corporation, highlighted the alignment with the organisation’s sustainability strategy and said, “MTR Corporation is excited to embark on this sustainable journey with DBS Hong Kong. This SLL will strengthen our efforts to reduce carbon emissions across our rail network and property portfolio. By integrating green and climate-resilient measures into our operations, we aim to deliver low-carbon transportation solutions that benefit both stakeholders and the environment.”
