Volvo Cars signs two sustainability-linked revolving credit facilities in the total of EUR 2 billion
Volvo Cars has signed a EUR 1.5 billion sustainability-linked revolving credit facility, refinancing the current EUR 1.3 billion credit facility signed in 2021.The five-year facility with a group of 22 participating banks has two one-year extension options and will serve as a backup facility for general corporate purposes.
In addition, Volvo Cars has signed a EUR 500 million sustainability-linked three-year revolving credit facility with certain Nordic banks. This facility also has two one-year extension options and is for general corporate purposes.
The two new facilities align with Volvo Cars’ sustainability strategy by linking the interest rate margin to Volvo Cars’ progress in reducing its carbon emissions across the value chain. The facilities also incorporate a performance indicator on reduction of water consumption aligning with Volvo Cars’ circular economy ambitions.
These successful transactions underline the participating banks’ support for Volvo Cars’ sustainability ambitions and their confidence in the company’s financial development.
BNP Paribas, Crédit Agricole Corporate and Investment Bank, DNB Bank ASA, Sweden Branch, and SEB acted as coordinators for the EUR 1.5 billion facility, while Crédit Agricole Corporate and Investment Bank acted as sustainability coordinator and Swedbank as agent. The 22 participating banks are well diversified and will form the core relationship bank group for Volvo Cars globally.
For further information please contact:
Volvo Cars Media Relations
+46 31-59 65 25
media@volvocars.com
Volvo Cars Investor Relations
+46 31-793 94 00
investors@volvocars.com
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Volvo Cars in 2023
For the full year 2023, Volvo Car Group recorded a record-breaking core operating profit of SEK 25.6 billion. Revenue in 2023 amounted to an all-time high of SEK 399.3 billion, while global sales reached a record 708,716 cars.
About Volvo Car Group
Volvo Cars was founded in 1927. Today, it is one of the most well-known and respected car brands in the world with sales to customers in more than 100 countries. Volvo Cars is listed on the Nasdaq Stockholm exchange, where it is traded under the ticker “VOLCAR B”.
"For life. To give people the freedom to move in a personal, sustainable and safe way." This purpose is reflected in Volvo Cars' ambition to become a fully electric car maker and in its commitment to an ongoing reduction of its carbon footprint, with the ambition to achieve net-zero greenhouse gas emissions by 2040.
As of December 2023, Volvo Cars employed approximately 43,400 full-time employees. Volvo Cars' head office, product development, marketing and administration functions are mainly located in Gothenburg, Sweden. Volvo Cars' production plants are located in Gothenburg, Ghent (Belgium), South Carolina (US), Chengdu, Daqing and Taizhou (China). The company also has R&D and design centres in Gothenburg and Shanghai (China).
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