It was issued under the CNV Guaranteed SME regime and is aligned with the provisions of the ICMA (International Capital Market Association) Green Bond Principles.
Strengthening its commitment to promoting access to sustainable financing in the social economy, Galicia Bank acted as organizer, placement agent and guarantee entity of a ON of Ecofactorytogether with other financial institutions. The funds will be allocated to the working capital financing, but also for the payment of outstanding installments for 5 machines purchased by the company, installed and in operation that are part of the production process.
Ecofactory is a company that dedicates its efforts to find a solution to the global environmental problem caused by single-use plastic bags. In this context, in 2010 crean the reusable bag that we know todayThrough a clean manufacturing process and technological design, they were able to make reusable bags at a cost and with a volume that allows them to replace disposable plastic bags, reducing the number of discarded bags to one hundredth.
Ecofactory created a product category that did not exist: reusable bags made of fabric, capable of being reused more than 200 times.
ON: placement reached 100% of the nominal value with offers for up to 4 times the amount issued
The bond was labeled as Social, Green and Sustainable (SVS) and will be issued for 12 months, with full amortization at maturity with a variable coupon adjusted by Badlar plus an additional margin of 2.9%, for a total of 468.2 million pesos; the placement achieved 100% of the nominal value with offers for up to 4 times the amount issued.
“At Ecofactory, we are excited to present our new issue of CNV Guaranteed SME Negotiable Bonds Series I, labeled as green. This is a unique opportunity for those interested in sustainable finance and in supporting projects that generate a positive impact on the environment,” points out Martin Khersonsky, from Ecofactory.
From the Sustainability Management of Banco Galicia, Constance Gorleri says that “Negotiable Bonds as a debt and investment instrument are financial tools that allow us to contribute directly to solving some of the greatest social and environmental challenges. This new issue with a purpose shows us that the path we started a few years ago around the development of sustainable finance is the right one. We are proud that this type of initiatives guide our financial actions.”
Source: Ambito
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