News & Publications

Company & Organisation News - 17/09/2020

Vigeo Eiris provides a Second Party Opinion on the first Social Bond in Brazil issued by Banco ABC Brasil and subscribed by IDB Invest

The R$525 million (as of today, about USD 100 million) intended Bond, closed in September 2020, will finance loans aimed at medium-sized enterprises and companies in the health sector.

It is the first Social Bond issued by a private financial institution in Brazil. The loans will be focused on financing medium-sized enterprises in less developed regions of Brazil and that support employment generation, as well as medium-sized enterprises and companies in the health sector negatively impacted by COVID-19. IDB Invest acted as structurer and investor for this operation.

We assigned a Second Party Opinion (SPO) on the sustainability credentials and management of the Bond intended by Banco ABC Brasil. Vigeo Eiris is of the opinion that this Bond is aligned with the four core components of the Social Bond Principles (2020) and expressed a robust performance on the contribution of this Bond to sustainable development.

Vigeo Eiris has produced more than 260 second-party opinions on sustainable financing operations in Europe, Africa, Americas and Asia. We were the 3rd biggest SPO provider in the market by number of deals in 2019 and are Climate Bonds Standard Approved Verifier.

Banco ABC Brasil is a commercial bank specialised in lending and services to medium and large-sized companies. The Bank’s main activity is financial intermediation for transactions involving analysis and assumption of credit risks. Banco ABC Brasil was founded in 1989 and is headquartered in Sao Paulo, Brazil.

IDB Invest, a member of the IDB Group, is a multilateral development bank committed to promoting the economic development of its member countries in Latin America and the Caribbean through the private sector. IDB Invest finances sustainable companies and projects to achieve financial results and maximize economic, social and environmental development in the region.

For more information, please contact – Sustainable Finance Team – VEsustainablefinance@vigeo-eiris.com

Banco ABC Brasil Press Release [English]: https://bit.ly/2ZM9epo

Banco ABC Brasil Press Release [Spanish]: https://bit.ly/2H9uqzb

Keywords : BecauseESGmatters, ESG, Social Bond, SPO