V.E, a Moody’s affiliate, has provided a Second Party Opinion (SPO) on Schneider Electric’s Sustainability Linked Financing Framework. The framework has been developed to enable the company to issue its first Sustainability Linked bond convertible into new shares and/or exchangeable for existing shares (OCEANE) in compliance with the International Capital Markets Association (ICMA) Sustainability-Linked Bond Principles. The Sustainability Linked Convertible Bonds are tied to specific key performance indicators (KPIs). V.E understands that this is the first Sustainability Linked Convertible Bonds issued in the market.
Schneider Electric’s Sustainability-Linked Financing Framework been tied to three Key Performance Indicators (KPIs) and associated Sustainability Performance Targets (SPTs) for 2025:
- KPI 1: CO2 emission savings and avoidance for Schneider Electric’s customers
- SPT 1: Deliver 800 mega-tonnes saved and avoided of CO2 emissions to our customers
- KPI 2: Gender diversity from hiring to front-line managers and leadership teams
- SPT 2: 50% women hiring (a), 40% women among front-line managers (b), 30% women in leadership teams (c)
- KPI 3: Number of underprivileged people trained in energy management
- SPT 3:Train 1 million underprivileged people in energy management
V.E has been a pioneer in the field of Sustainability-Linked Financing Frameworks. In November, V.E has supported innovative engagements with ENEL, (providing the SPO for the Sustainability-Linked Financing Framework created to issue Sustainability-Linked Instruments), Etihad Airways, (providing the SPO for the worlds’ first transition SUKUK) and NRG Energy, (providing the SPO for the first sustainability linked bond in the USA).
Sustainability linked financing frameworks are playing an increasingly central role in redirecting financing in favour of sustainability objectives. The growth and expansion of these tools is vital to the development of more sustainable and resilient capital markets. We are proud to have supported this mission.
Benjamin Cliquet, Head of Sustainable Finance Business Development
FULL SPO and Press Release available below for download.
For more information on this mission and V.E’s SPO services for Bonds and Loans
Head of Communications
Head of Sustainable Finance Business Development