Riwal links sustainability performance to RCF
In the last months, Riwal, the international aerial work platform rental and sales specialist, has extended its Revolving Credit Facility (RCF) by another two years. The interest rate on the RCF will, amongst others, depend on the company’s year-on-year sustainability performance improvement.
The RCF’s interest rate is 100% linked to sustainability indicators, measuring Riwal’s performance on a year-on-year basis. The indicators are linked to Riwal’s key sustainability initiatives from its Sustainability 2025 strategy, such as increasing the amount of sustainable products, reducing solid waste, increasing the company’s Ecovadis score from Silver level to Platinum and reducing the carbon footprint. Based on the progress on these indicators, a discount or premium may apply to the interest rate on the RCF.
“We are proud to be a front-runner on sustainability in this industry,” said René Timmers, chief financial officer. “At Riwal, we preserve what matters. Our continued effort to align our sustainability ambitions and targets with the extended Revolving Credit Facility underlines this commitment. This extension improves our debt maturity profile and the commitment from our core banks truly reflects confidence in our business model, of which reaching our sustainable goals is an essential element. Sustainability is fully integrated in our business strategy and daily operations and can now be valued as such.”
The Revolving Credit Facility, extended till 2025 with an unchanged interest margin grid, prolongs the company’s existing RCF, providing liquidity for general corporate purposes and giving Riwal the flexibility to fund further sustainable business growth. The RCF is provided by a syndicate of five relationship banks, namely ABN AMRO, Commerzbank, Deutsche Bank, ING and Rabobank. On top of the 300 million euros revolving credit facility, Riwal has also extended its accordion feature of 75 million euros for potential acquisitions in the future.
The Riwal Holding Group, established in 1968 and headquartered in the Netherlands, is an international rental and sales specialist of aerial work platforms, telehandlers and forklifts. Riwal is active in 14 countries, managing a fleet of approximately 20,000 machines and employing more than 1400 staff. Riwal’s mission is, through engaged people, to provide the best customer experience.