UOB Executes Sustainability Linked Loan with Chimei Corporation

Singapore’s United Overseas Bank (UOB) has successfully closed a three-year Sustainability Linked Loan (SLL) of a total amount of TWD1 billion (US$32.7 million) with Chimei Corporation.

The SLL funds will be used for Chimei’s energy and greenhouse gas reductions, water resource recycling, and other action plans related to the vision of being “Clean and Green”. UOB is the first Singaporean bank to execute an SLL with Chimei. 

The KPI selection of SLL are aligned to the Science Based Target Initiatives (SBTis) where Chimei has committed to achieving the carbon reduction target setting of limiting global warming to 1.5°C that is in line with the Paris Accords. 

By setting the KPI reducing greenhouse gas (Scope 1 plus Scope 2) emissions by 4.2 percent per year during the loan period compared with 2021,  Chimei is showing their determination to continue to play its role in carbon reduction.

Founded in 1960, Chimei is a Taiwan-based performance materials company. It designs and manufactures a wide range of cutting-edge performance materials, including advanced polymer materials, synthetic rubbers, and specialty chemicals.

Ecologue is the newly launched portfolio offering sustainable materials through Chimei’s recycling, bioplastic, and production innovations. The company believes that making performance materials sustainable could initiate discussions that drive collaboration among colleagues, partners, and across the whole value chain.

Lisa Chen, Head of Corporate Banking Taiwan, UOB, said “UOB’s sustainability finance frameworks simplify the process of obtaining financing for our clients, against clearly-defined, internationally-recognised standards. We are pleased to support Chimei Corporation in its sustainability and green initiative journey, in line with the vision of “Clean and Green” as we work together towards net zero emissions.”

#greenloan #uob #globalwarming