British lifestyle brand Joules has extended its current funding arrangements with Barclays Bank Plc, which includes a £25 million revolving credit facility and £9 million term loan, to September 2024 and has converted the facility to an ESG-linked financing arrangement.
The new financing agreement links the margin on the facility with Joules’ performance against three Sustainability Performance Targets (SPTs). These align with Joules’ ESG focus areas. Under the terms of the agreement, Joules will benefit from a lower interest rate loan margin if the Group delivers on the following targets:
- reducing its carbon emission intensity;
- delivering 100% more sustainable materials in the manufacturing of its products; and also,
- increasing its employee engagement score
The Group will report details of the targets and progress alongside its annual results and ‘Responsibly Joules’ update each year.
The arrangement reflects Joules’ strong commitment to operating responsibly and sustainably. Also, the Group’s focus on delivering against its ‘Responsibly Joules’ objectives. These are outlined in the Group’s 2020 Annual Report to the benefit of its employees, communities, and the environment.
Commenting is Marc Dench, CFO at Joules. “This extension to our financing facilities further enhances the Group’s robust financial position. And, importantly, further aligns Joules’ sustainability commitments, which are central to our business purposes, to the Group’s long-term financial strategy and performance.
“With growth comes responsibility. The decision to link this financing to our ESG focus areas reflects the Group’s stated commitments to create value for all stakeholders by reducing its environmental footprint and positively impacting the people we work with, the communities we’re based in, and the world around us.”
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