Trowers & Hamlins has advised Bromford on the deal.
The transaction concerned a new sustainability-linked loan (SLL) facility with SMBC Bank International plc which is believed to be the first SLL to link to gender pay gap.
The landmark loan is believed to be the sector’s first sustainability-linked loan that has a margin tied to governance related KPIs. Should Bromford meet the targets, which address the group’s governance rating and gender pay gap performance, they will benefit from a lower interest rate on the loan, with the savings being reinvested in community projects to support and empower women.
In recent years, housing associations have taken an increasing interest in incorporating environmental, social and governance (ESG) factors, however, it is believed that Bromford’s new loan with SMBC bank is the first time that ‘governance’ has been used as part of an SLL within the UK social housing sector.
Sarah Gooden (Picture), partner in the Trowers banking and finance team, advised on the deal with Katharine Lewis.
Law Firms: Trowers & Hamlins;
Clients: Bromford Housing Group;