NEW YORK, April 26, 2021 /PRNewswire/ -- S&P Global (NYSE: SPGI) today announced one of the first sustainability-linked banking facilities in the United States tied to climate action goals verified by the Science Based Targets Initiative (SBTi) and the first such banking facility in the U.S. media and information services sector.
The new $1.5 billion senior unsecured revolving credit facility includes a sustainability-linked pricing adjustment to reinforce the Company's pledge to support the transition to a global net-zero economy. The pricing adjustment is linked to the Company's goals to reduce greenhouse gas emissions, which have been verified by the SBTi, a coalition that assesses the soundness of private-sector climate action through a scientific framework.
The revolving credit facility was entered into with a syndicate of lenders. J.P. Morgan acted as Sustainability Structuring Agent and Administrative Agent, whereas other Joint Lead Arrangers and Joint Book Runners on this transaction were Bank of America as Syndication Agent, Citibank, Deutsche Bank, HSBC, Mizuho Bank, and Morgan Stanley MUFG Loan Partners.
"Linking our line of credit to SBTi-verified targets makes tangible S&P Global's commitment to becoming net-zero by 2040," said Ewout Steenbergen, Executive Vice President and Chief Financial Officer of S&P Global. "This facility will further incentivize S&P Global to achieve its ambitious goal of reducing our greenhouse gas emissions, support a net-zero economy and reinforce our commitment to sustainable corporate citizenship."
Highlights of S&P Global's emissions reduction commitments include a 25% reduction in emissions by 2025 from a 2019 base year, including both absolute scope 1 and 2 emissions from operations as well as absolute scope 3 emissions from business travel. The targets covering greenhouse gas emissions from scopes 1 and 2 are consistent with reductions required to keep warming to 1.5°C, the most ambitious scenario available in the SBTi process.
Issuing the sustainability-linked banking facility is the latest action S&P Global has taken to solidify its commitment to corporate sustainability. The Company recently announced support for the principles outlined in the Say on Climate initiative, and in 2020 was one of the first U.S.-based firms to introduce a Carbon-Adjusted Earnings Per Share metric, which reflects the cost of carbon emissions relative to profits. It also began publishing an annual disclosure of climate-related risks and opportunities in 2019, adhering to the guidelines endorsed by the Financial Stability Board's Task Force on Climate-related Financial Disclosures (TCFD).
About S&P Global
S&P Global (NYSE: SPGI) is the world's foremost provider of credit ratings, benchmarks and analytics in the global capital and commodity markets, offering ESG solutions, deep data and insights on critical business factors. We've been providing essential intelligence that unlocks opportunity, fosters growth and accelerates progress for more than 160 years. Our divisions include S&P Global Ratings, S&P Global Market Intelligence, S&P Dow Jones Indices and S&P Global Platts. For more information, visit www.spglobal.com.
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