Żabka, in cooperation with the Santander Group, has finalized the first loan agreement and factoring agreement, which are subject to achieving ESG goals, including those related to decarbonization. These targets were endorsed by the Science Based Targets (SBTi) initiative. The loan provided by Santander will be used to finance Żabka’s automated and low-emission logistics center, which is scheduled to open in the second half of 2022.
How will the signed deals affect Żabka’s situation? The loan amount, margin and accordingly the factoring margin will be dependent on the achievement of the ESG goals that the company defined and committed to their implementation in the Responsibility Strategy adopted in 2021. This method of financing not only gives credibility to the company’s liabilities, but also shows that the organization is declaring concrete actions.
In an increasing number of financial institutions, the availability of financing and its cost depend on actions and goals taken in the field of sustainable development, which means that the company’s investments are assessed in terms of environmental, social and corporate management. Companies that take into account, among others environmental obligations in their activities have easier access to financing instruments. Therefore, Żabka’s initiative is a very important signal for the market on how to integrate ESG factors into its business activities for the sake of sustainable development.
– Responsibility and trust are the most valuable assets today. Modern businesses must be credible and transparent in its communication. We have created a financial instrument which is based on achieving specific ESG goals, including decarbonisation. This is further proof that we are taking our commitments seriously. At Żabka, we are constantly improving our processes and looking for innovative solutions to meet the expectations of our stakeholders and maintain our high market position. We signed the first financial agreements, the margin of which depends on the achievement of the assumed ESG goals. This is an additional incentive for us to pursue our commitments. We are open and we want to continue looking for this type of financing for the development of our business – says Marta Wrochna-Łastowska, Member of the Management Board for Finance at Żabka Polska.
The financing project based on ESG objectives was implemented by Żabka thanks to close cooperation with the Santander Group, which is active in the field of green transformation, supporting entrepreneurs in this change.
– Through our activities, including providing financing to clients based on ESG objectives, we consistently implement our strategy of responsible banking. We are very pleased that we have the opportunity to promote pioneering solutions on the Polish market, such as factoring combined with ESG objectives or a long-term loan containing an analogous mechanism, secured by an export credit agency (ECA) policy. To introduce such solutions, a huge motivation is needed, both on the part of the client and the bank. I am glad that together with Żabka we were able to create a unique solution on a business scale, which will additionally have a positive impact on the environment – says Juan de Porras Aguirre, Vice President of the Management Board, head of the Corporate and Investment Banking Division at Santander Bank Polska.
Source: Żabka Polska Sp. z o.o. Press Office
First Published: February 1, 2022
