Kungsleden is extending and expanding its credit facility with Handelsbanken, which amounts to SEK 2.9bn in total. A number of objectives related to diversity and climate are also being added to the terms and conditions. This is a sustainability-linked credit facility, and it’s the first in Sweden to include both a diversity goal and a goal to reduce energy use and CO2 emissions in our properties by at least 25% by 2025, compared to 2020.
Kungsleden focusing on diversity and climate in financing of operations
Sustainability-linked credit facility with 3 goals
- We believe in an inclusive society, and we actively strive to increase the diversity at Kungsleden to reflect society at large, which we are convinced will contribute to our long-term business goals. The climate is the greatest challenge of our time, and we focus on reaching our ambitious climate goals. By linking our terms of the credit facility to these goals, we have further incentive to continue this important work,” says Ylva Sarby Westman, Executive Vice President and CFO at Kungsleden.
An important part of Kungsleden’s work
The credit facility is an important part of Kungsleden’s liquidity position, and is primarily intended as back-up for issues of commercial paper and loan maturities on the bond market.
Kungsleden aims to become climate-positive throughout the entire value chain by 2035, and its long-term climate goals are in line with scientists’ recommendations to limit global warming to 1.5 degrees (Science Based Targets initiative). To achieve its ambitious climate goals, it is focusing on, among other things, material that has a low impact on the climate, recycling methods, improvements in energy efficiency, installation of solar panels and geothermal installations, procurement of fossil-free district heating, and the use of climate-friendly refrigerants.
Kungsleden has long been an equal opportunities employer at all levels within the organisation, and it is now focusing intensely on achieving other diversity targets, in order to better reflect the community as a whole. This work is carried out via the recruitment process, for example, and by continuous work relating to core values throughout the organisation.
Kungsleden’s sustainability work
Kungsleden has, for a number of years, conducted sustainability work with high ambitions, and has taken on great responsibilities in order to achieve these goals. This work is contributing to twelve of the UN Sustainable Development Goals, and provides a basis for the company’s operations.
In 2020, the company adopted a new sustainability strategy which takes the work one step further, and is widening the perspective even more. This is in response to the need for sustainable value creation, which is to be achieved through an overall perspective on health and well-being with the individual in focus. Hence, the new strategy defines three sustainability areas: People, Planet, and Culture. Within each of these, there are a number of focus areas with defined goals to follow up:
- People:
An overall perspective on health and well-being with the individual in focus. The goals are to work on, and implement, 1. Symbiotic District 2. Symbiotic Building and 3. Symbiotic Office. Through the Symbiotic concept, Kungsleden is integrating the green and social aspects into one, with a focus on the individual, in order to create intelligent districts, buildings, and offices. - Planet:
Kungsleden is part of an ecosystem with limited resources, and the company is doing what it can to reduce climate change. Our goals are to become climate-positive throughout the value chain by 2035, achieve climate-positive administration, develop and implement climate-smart premises, for all new large projects to be built using solar panels, and for our property portfolio to use 25% less energy in 2025 than it did in 2020. - Culture:
Kungsleden has a positive culture, is doing the right thing, and is acting as a force for good in the community. Our goal is that all new large projects should include at least one measure aimed at local community involvement, and zero tolerance of accidents, ethical infringements, corruption, and human rights violations.