Hongkong and Shanghai Hotels Secures HK$800 Million Sustainability-Linked Loan

A wholly-owned subsidiary of Hongkong and Shanghai Hotels, (HSH), the owner of The Peninsula Hotels portfolio, has finalised a three-year HK$800 million sustainability-linked revolving credit facility with DBS Bank (Hong Kong).

This facility marks the first bilateral sustainability-linked loan between DBS Hong Kong and HSH Financial Services, for which the bank will serve as the sole lender. The loan facilitates HSH’s general corporate purposes, including the refinancing of its existing indebtedness.

The Key Performance Indicators (KPIs) set by HSH Financial Services include a reduction in carbon intensity and energy intensity, an increase in waste diversion rate, and an increase in the number of hotels receiving sustainability certification from EarthCheck.

Last year, DBS was among one of the nine banks that signed a £675 million (HK$5.95 billion) three-year term green loan facility with HSH Financial Services, which will continue to fund the construction and operating cost of The Peninsula London project.

Clement Kwok, Managing Director and CEO of The Hongkong and Shanghai Hotels, Limited, commented: “We are delighted to partner with DBS on this new sustainability-linked revolving credit facility.”

“This reflects our company’s strong commitment to incorporate sustainability elements in our business and financing strategy, as set out in our Sustainable Luxury Vision 2030. We appreciate the knowledge and expertise of our partner DBS and look forward to working closely with them to create long-term value for our stakeholders.”