The Co-operative has announced a five-year extension of its £400 million (€482.5 million) sustainability-linked revolving credit facility, in conjunction with its banking partners.
The announcement sees the revolving credit facility extended out to November 2029 and ‘underlines Co-op’s continued commitment to a more sustainable future as well as providing a backstop liquidity facility for the group for the next five years,’ it noted in a statement.
It builds on new sustainability and social targets that the UK retail and services conglomerate announced earlier this year, which included commitments to reduce carbon emissions, as well as those tackling waste across its supply chain.
Science-Based Targets
Specifically, Co-op is targeting 79% of its suppliers to adopt science-based targets by 2030 (up from 47%) and aims to reduce food waste by approximately 650 tonnes annually. Co-op has already committed to halving food waste generated by its stores and depots by 2030, aligning with best practices set out by WRAP.
In addition, it also introduced a new metric, assessing the proportion of both women and ethnic minorities at management levels.
‘Sustainable, Profitable Growth’
“The successful extension of our credit facility out to 2029 underscores the improved financial position of our Co-op, the balance sheet strength we now have to fuel our sustainable profitable growth ambitions, and the collective confidence in our ongoing financial resilience,” commented Rachel Izzard, CFO at Co-op.
“As a Co-op, we are here to create sustainable value for our more than six million active member-owners and the communities in which we operate and source from. It is wonderful, and true to our Co-op heritage and values, to be able to weave our social value commitments into our longer-term funding strategies.”
The revolving credit facility is supported by six banks, including NatWest, Barclays, Handelsbanken, Lloyds, ING and Santander.
“I would like to personally thank our partner banks for their shared commitment in supporting these important areas, which matter so much to our member-owners,” Izzard added.
