Embassy REIT surges ~2% on receiving Green Loan Certification for loan facilities worth Rs730 crore

21 Mar 2022 , 03:10 PM

Embassy Office Parks REIT has received a green loan certification from Axis Bank’s Climate Bonds Initiative in respect of loan facilities worth Rs730 crore.

In the Indian real estate sector, Embassy REIT is the first-ever organization to receive a green loan certification from Climate Bonds Initiative.

Climate Bonds Initiative is an investor-focused international not-for-profit organization working to mobilize global capital for climate action towards a low carbon and climate-resilient economy.

“We are glad to receive this certification from Climate Bonds Initiative, recognizing our sustainability efforts focused on increasing our renewable energy share to drive our net-zero 2040 commitment. We are happy to report that with this certification, we have secured cumulative sustainable financing of over Rs2,170 crore, much ahead of our FY2024 target of Rs1,000 crore. With this, around 50% of our total SPV-level debt is now certified as green. We will continue to work towards our sustainability vision by scaling up our ongoing ESG programs and commitments,” commented Michael Holland, Chief Executive Officer of Embassy REIT.

Earlier in October 2021, Embassy REIT has also raised SPV-level debt of Rs650 crore from Axis Bank which was used to refinance a construction loan for its 100 MW solar project in Bellary, Karnataka. It also secured an additional loan worth Rs80 crore for the ongoing construction of one of Asia’s largest solar rooftop projects of over 20 MW scale across pan-India properties of Embassy REIT. Now, these two loans have been certified as green loans, thereby enhancing Embassy REIT’s cumulative sustainable finance portfolio to over Rs2,170 crore.

Embassy Office Parks REIT is currently trading at Rs367 up by Rs5.6 or 1.55% from its previous closing of Rs361.40 on the BSE. The counter has touched day’s high and low of Rs368.60 and Rs359 respectively.