Citycon launches a Green Financing Framework
Sustainability is a key cornerstone for Citycon to create long-term value for its investors and to the communities in which it operates. As a result, Citycon has launched a Green Financing Framework which integrates the company’s sustainability targets with its financing activities. Under the Green Financing Framework, Citycon can issue Green Bonds, Green Commercial Papers, Green Loans, Green Hybrid Bonds or Green Private Placements.
The Green Financing Framework is based on Citycon’s sustainability strategy that spans until 2030 with an aim of becoming carbon neutral by 2030. The framework reflects practices that support the transition to a sustainable and low carbon economy through the development of green assets. Proceeds issued under the framework can be used to finance or re-finance eligible green assets in categories green buildings, energy efficiency, renewable energy or waste management. Currently, approximately EUR 2.7 billion of Citycon’s property portfolio would be eligible for green (re)financing.
“Sustainability is embedded in all of Citycon’s operations. Now we are also able to integrate sustainability objectives in our financing activities. The Green Financing Framework will further support Citycon’s profile as a forerunner in sustainability and enable us to broaden our investor base”, says Ben Helsing, Group Treasurer of Citycon.
The Framework has been developed in alignment with the Green Bond Principles 2018. Cicero, a global leading independent provider of second opinions on green bonds, has provided an external second opinion on Citycon’s Green Financing Framework, which received a medium green ranking in Cicero’s “Shades of Green methodology”. The framework together with the external second opinion are available on Citycon’s website at https://www.citycon.com/investors/financing/green-financing. Swedbank acted as an advisor in the development of the framework.
Espoo, 5 November 2019
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Citycon is a leading owner, manager and developer of urban, grocery-anchored shopping centres in the Nordic region, managing assets that total approximately EUR 4.4 billion. Citycon is No. 1 shopping centre owner in Finland and among the market leaders in Norway, Sweden and Estonia. Citycon has also established a foothold in Denmark.
Citycon has investment-grade credit ratings from Moody's (Baa3) and Standard & Poor's (BBB-). Citycon Oyj’s share is listed in Nasdaq Helsinki.