Nilfisk links new EUR 400 million credit facility to ambitious sustainability targets
Nilfisk is linking its new credit facility directly to its sustainability targets for scope 1,2 and 3 CO2 emissions, as validated by the Science Based Targets initiative, EcoVadis rating as well as targets for increased gender diversity.
For Nilfisk, sustainability is seen as an integral part of the business, and a core part of the strategy towards long-term sustainable growth. Therefore, Nilfisk’s new credit agreement have linked borrowing costs directly to sustainability KPI’s. At the same time, Nilfisk is placing product sustainability at the core of its new Business Plan 2026.
"We are extremely satisfied to have signed this new credit facility linked directly to our sustainability targets and our commitment to creating a sustainable future in the cleaning industry. We take our commitment to reduce scope 3 emissions by 48 pct in 2030 and increase diversity by 2026 very seriously, and we are therefore pleased to have taken this step to further integrate sustainability into our commercial and financial strategy", says Reinhard Mayer, CFO at Nilfisk.
The new credit facility is fully linked to Nilfisk's sustainability targets (points 1-3 below) as well as one additional target:
- reduce absolute scope 1 and 2 emissions with 35 pct before 2030 against a 2019 baseline
- reduce scope 3 emission intensity with 48 pct before 2030 against a 2021 baseline
- to achieve a minimum of 25 pct representation of the underrepresented gender in all senior management tiers already by 2026
- to increase its 91st percentile silver EcoVadis rating to a gold EcoVadis rating.
These targets will in turn support the delivery of Business Plan 2026 and the company’s strategy towards long-term sustainable growth, where a strong sustainability focus is anchored in both Nilfisk’s value proposition and strategic priorities.
The sustainability-linked credit facility, which is set on improved terms, has an interest mechanism that links borrowing costs to Nilfisk’s progress on its sustainability targets. As a tool to drive the efforts to meet Nilfisk’s targets, the facility’s interest margin will be adjusted based on Nilfisk’s ability to meet a well-defined progress on the four strategic sustainability KPIs on an annual basis.
The credit agreement consists of a EUR 200 million term loan facility as well as a EUR 200 million revolving credit facility and has been provided by Danske Bank, Nordea, UniCredit, BNP Paribas and HSBC. Danske Bank and Nordea have acted as joint Sustainability Coordinators and Documentation Agents for the facility.
