Larsen & Toubro (L&T) has introduced a ₹500 crore ESG bond issuance deal, changing into the primary Indian company to take action underneath the Securities and Alternate Board of India’s (SEBI) newly launched ESG and sustainability-linked bond framework. HSBC is appearing as the only real lead arranger on this transaction.
The issuance is compliant with SEBI’s regulatory framework introduced on Thursday (5 June), which is designed to advertise transparency, accountability, and alignment with worldwide ESG requirements. The framework outlines key necessities for issuers, together with the disclosure of sustainability goals, necessary exterior assessments akin to Second-Occasion Opinions (SPOs), and post-issuance reporting. It additionally mandates clear Key Efficiency Indicators (KPIs) and targets to measure ESG outcomes, essential steps in supporting India’s Internet-Zero and climate-resilient progress agenda.
As a part of the ESG Bond deal, L&T is dedicated to environmental targets, together with a lower within the depth of freshwater withdrawal and emissions of greenhouse gases. These Initiatives are consistent with the corporate’s long-term sustainability targets of attaining water neutrality by 2035 and carbon neutrality by 2040.
“We take satisfaction in main the transition to sustainable finance underneath SEBI’s new ESG framework,” mentioned a senior spokesperson from L&T. As a part of the ESG bond deal, the corporate mentioned it’s dedicated to environmental targets, together with a lower in depth of contemporary water withdrawal and emissions of greenhouse gases.
These initiatives are consistent with the corporate’s long-term sustainability targets of attaining water neutrality by 2035 and carbon neutrality by 2040.
The issuance is compliant with Sebi’s regulatory framework introduced on Thursday, which is designed to advertise transparency, accountability, and alignment with worldwide ESG requirements.
The framework outlines key necessities for issuers, together with the disclosure of sustainability goals, necessary exterior assessments akin to second get together opinions, and post-issuance reporting.
“This bond issuance reinforces our steadfast dedication to sustainable improvement and accountable enterprise practices whilealigning our funds with environmental targets,” the L&T spokesperson added.
“We’re happy to companion with L&T on the primary INR Sustainability Linked Bond underneath SEBI’s pointers, reinforcing our dedication to supporting the Clear Power Transition in India. We stay up for partnering with corporates throughout sectors seeking to navigate the paths towards their sustainability targets”, mentioned HSBC India.
