SINGAPORE—Halcyon Agri Corp. Ltd. has secured a syndicated sustainability-linked loan of up to $300 million to support its medium- to long-term sustainability plans.
In establishing the loan, the company said it had refined its sustainability goals to cover the natural rubber processing business in Asia of Halcyon Rubber Co. (HRC) Group, which serves global tire companies.
Proceeds will be deployed for working capital purposes of HRC Group's natural rubber factories based in Asia, and to replace certain higher-interest loans, to bring down overall group financing costs.
HRC is a major supplier of natural rubber to the global tire industry: operating 36 factories with approvals from tire manufacturers worldwide.
Regarding its wider sustainability policy, Halcyon Agri said it has prioritized net-zero carbon emissions, net-positive water impact, responsible sourcing and equitable livelihoods, in-line with the United Nations' sustainable development goals.
In line with these priorities, the company said it is "currently working with professionals" to understand its global carbon footprint—toward committing to the "science-based targets initiative" by 2023.