The £550m three-year revolving credit facility linked to ambitious sustainability and community-based targets
Kingfisher the international home improvement retailer whose businesses include B&Q and Screwfix, has entered into a £550m three-year revolving credit facility linked to ambitious sustainability and community-based targets.
Under the terms of the new credit facility agreement, which has a duration of three years with the possibility of two one-year extensions, Kingfisher will benefit from a lower interest rate if it delivers specific targets which are aligned with the Group’s Responsible Business plan.
Kingfisher’s Responsible Business commitments, which are linked to the credit facility’s targets, are as follows:
Help to tackle climate change:
- Kingfisher is committed to help tackle climate change by reducing carbon emissions from its business, products and supply chain.
- The target is to deliver 1.5°C science-based carbon reduction targets by FY 2025/26 and the facility covers Kingfisher’s actions to reduce its Scope 1 and 2 impacts.
Create more forests than it uses:
- Kingfisher is committed to becoming forest positive by FY 2025/26 by creating more forests than it uses.
- The credit facility target is to reach 100% sustainable wood and paper for its products by FY 2025/26, covering all retail banners across the Group. The current level for Kingfisher is 80.7%.
Fight to fix bad housing:
- Kingfisher is committed to help more than 2 million people whose housing needs are greatest in communities by FY 2025/26.
- The target is defined as the number of people who directly benefited from Kingfisher’s community contributions since FY 2016/17.
- So far, over 790,000 people have benefited from donations since FY 2016/17.
Bernard Bot, Kingfisher’s chief financial officer, said: “This revolving credit facility shows our commitment to integrate our Responsible Business principles into all aspects of our business. Our Responsible Business plan is an integral part of our Powered by Kingfisher strategy and this facility links our ambitious sustainability and community targets with our financing activities. We are making great progress with our climate change and community programmes and I look forward to working with all our stakeholders on realising our commitments.”