Clearwater advises Terra Patris on refinancing its debt portfolio with a syndicated €39m sustainability-linked loan

Transaction

Refinancing its debt portfolio with a syndicated €39m sustainability-linked loan

Debt Advisory

Undisclosed

Role

Adviser to Terra Patris on refinancing its debt portfolio with a syndicated €39m sustainability-linked loan

Sector

Industrial & Chemicals

Region

Finland

We have advised Terra Patris on refinancing its debt portfolio with a syndicated €39m sustainability-linked loan. The new three-year loan facilities agreement with two one-year extension options includes the following sustainability targets: share of renewable electricity out of the group’s total electricity consumption, and the group’s personnel’s average annual sick leave days.

Terra Patris Oy is a Finnish family-owned company with subsidiaries in the leisure marine industry, construction equipment industry, contract manufacturing, and forestry industry.

Sustainability is increasingly important for our industrial clients and other stakeholders. Linking the loan margin to our sustainability targets gives us further incentives and discipline – we are happy to also have financiers as our sustainability stakeholders. Nordhaven’s advice from the project launch to the final execution was highly value-adding, and we are grateful for their thorough support.
Turkka Hirvonen, CEO, Terra Patris Group

We were pleased to assist Terra Patris on their first sustainability-linked loan. During the last couple of years sustainability-linked loans have become the mainstream for publicly listed Finnish corporates. This development has already progressed and will further progress in private companies. We are happy to help also other private firms with sustainability-linked loans.
Martti Purhonen, Partner, Clearwater