Project finance and Ratchet: Difference between pages
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'' | 1. ''Loan documentation - pricing - credit risk - credit ratings.'' | ||
A clause in a loan document which links the pricing of the borrowing to the credit rating of the borrower. | |||
Also known as a 'pricing grid'. | |||
2. ''Loan documentation - pricing - ESG - KPIs.'' | |||
A clause in a loan document which links the pricing of the borrowing to the borrower's performance against ESG performance KPIs. | |||
:<span style="color:#4B0082">'''''Places for People's (PfP's) £900m ESG-linked RCF'''''</span> | |||
:"PfP agreed on three meaningful and stretching environmental and social KPIs aligned with four of the UN Sustainable Development Goals. | |||
:These are documented in line with the LMA’s Sustainability-Linked Loan Principles with performance tied to upward and downward margin ratchets." | |||
:''ACT Deals of the Year 2022: Overall winner - 4 April 2023.'' | |||
== See also == | == See also == | ||
* [[ | * [[Clause]] | ||
* [[ | * [[Credit rating]] | ||
* [[ | * [[Credit risk]] | ||
* [[ | * [[Documentation]] | ||
* [[ | * [[ESG]] | ||
* [[ | * [[Key performance indicator]] (KPI) | ||
* [[ | * [[Loan agreement]] | ||
* [[ | * [[Loan Market Association]] (LMA) | ||
* [[ | * [[Margin]] | ||
* [[ | * [[Revolving credit facility]] (RCF) | ||
* [[Sustainability-Linked Loan Principles]] (SLLPs) | |||
* [[Sustainable Development Goals]] (SGDs) | |||
[[Category:The_business_context]] | [[Category:The_business_context]] | ||
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[[Category:Manage_risks]] | [[Category:Manage_risks]] | ||
[[Category:Risk_frameworks]] | [[Category:Risk_frameworks]] | ||
[[Category:Risk_reporting]] | |||
[[Category:Financial_products_and_markets]] | [[Category:Financial_products_and_markets]] |
Latest revision as of 11:22, 23 April 2023
1. Loan documentation - pricing - credit risk - credit ratings.
A clause in a loan document which links the pricing of the borrowing to the credit rating of the borrower.
Also known as a 'pricing grid'.
2. Loan documentation - pricing - ESG - KPIs.
A clause in a loan document which links the pricing of the borrowing to the borrower's performance against ESG performance KPIs.
- Places for People's (PfP's) £900m ESG-linked RCF
- "PfP agreed on three meaningful and stretching environmental and social KPIs aligned with four of the UN Sustainable Development Goals.
- These are documented in line with the LMA’s Sustainability-Linked Loan Principles with performance tied to upward and downward margin ratchets."
- ACT Deals of the Year 2022: Overall winner - 4 April 2023.