Argos signs COP 160 billion ESG-linked performance loan with BBVA
BBVA and Argos (Grupo Argos) signed a long-term financing agreement through a sustainable loan in an ESG-linked format for 160 billion COP ($ 44.8 million) where the loan includes a price adjustment mechanism that links the interest rate to the ESG performance of the company.
This transaction is the first of its kind in Colombia and constitutes Grupo Argos’ debut in sustainable financing.
The loan granted by BBVA in Colombia to Cementos Argos includes an adjustment mechanism by which the interest rate will be linked to the general ESG (Environment, Social and Governance) performance of the company.
“This is a definite step forward in line with our sustainability strategy that fills us with joy, not only because it contributes to our debt profile and reassures our commitment to sustainability as a strategic pillar and source of advantage. competitive, but it is also a benchmark of confidence for our investors and other stakeholders ”, said Juan Esteban Calle, CEO of Argos.
Mario Pardo, Executive Chairman of BBVA Colombia, said that “One of BBVA’s objectives is to foster more sustainable development and, therefore, it is increasingly necessary for companies to balance their economic, environmental perspectives. and social in everything they do. This is why this sustainable loan, which was formalized with Argos according to ESG Linked criteria, is an important step towards building a greener future in Colombia. “
Posted under Cement News