Solar panels at City Centre Almaza in Egypt. Image Credit: Supplied

Shopping mall, retail and leisure group Majid Al Futtaim has successfully signed its second sustainability-linked loan (SLL), structured as a $1.25 billion revolving credit facility (RCF) linked to the company’s environmental, social and governance (ESG) related targets, it said on Monday.

The transaction was led by First Abu Dhabi Bank (FAB).

The SLL aims to facilitate the reduction in Majid Al Futtaim’s carbon footprint by reducing its Scope 1 & Scope 2 emissions and implementing LEED certification for its buildings as well as improving gender diversity within the organisation demonstrating its commitment towards the environment as a socially responsible employer.

Ziad Chalhoub, Chief Financial Officer at Majid Al Futtaim Holding, said: “Sustainable finance options are a vital solution in the quest to ensure the private sector creates a resilient economy and supports development that meets the needs of the present without compromising the future. Today’s announcement maintains Majid Al Futtaim’s long-held commitment to becoming one of the most sustainably considerate companies regionally and globally.

“Through the new SLL, we are further extending our accountability in how we finance our operational and capital expenditures across the Group. As our second such SLL signed in as many years, we are aligning our actions with our long-term strategic target of reaching a Net Positive business model by 2040.”