Commodity trader Gunvor has secured a US$1.32bn revolving credit facility (RCF) from a group of global and regional Asian lenders, in a deal tied to the trader’s sustainability performance.

The debt package will partly refinance last year’s US$1.035bn Asian RCF and will be used by Gunvor Group’s Singapore subsidiary for general corporate and working capital purposes.

The RCF was initially launched at US$750mn, but was heavily oversubscribed amid strong interest from the banking market, ultimately closing at US$1.2bn. Two financial institutions subsequently joined the deal via an accordion feature, increasing its size by a further US$120mn.

Gunvor is guaranteeing the 364-day RCF, which also includes two 12-month extension options.

“The successful renewal of our Asian RCF is the result of the deep collaboration between Gunvor and its banking partners,” says Jean Rohr, Gunvor’s regional CFO for Asia Pacific.

“The strong relationship we have with our core financing partners, enhanced by the welcome addition of several new lenders into our upsized anchor facility, demonstrates their support for the group’s strong performance and positive outlook.”

A total of 30 banks joined Gunvor’s Asia RCF in recent weeks, an increase from last year’s syndicate of 26.   

Abu Dhabi Commercial Bank, China CITIC Bank International, DBS, MUFG and Oversea-Chinese Banking Corporation serve as active bookrunning mandated lead arrangers (MLAs), while DBS is syndication coordination agent.

Agricultural Bank of China, Arab Petroleum Investments Corporation, Emirates NBD, First Abu Dhabi Bank, Natixis and State Bank of India remain as bookrunning MLAs, alongside newcomers Indian Bank and Union Bank of India.

Natixis is also facility agent, legal and documentation agent and sustainability coordinator on the RCF.

Crédit Agricole CIB, ING, Rabobank and UBS are senior MLAs, while Mizuho, Société Générale and United Overseas Bank are MLAs.

Commerzbank, Habib Bank, Krung Thai Bank and SMBC are once again lead arrangers, alongside new joiners Westpac, Bank of China and China Construction Bank.

Sumitomo Mitsui Trust Bank, Banque Internationale de Commerce and National Bank of Fujairah remain as arrangers.

As in previous years, the RCF includes pricing benefits based on Gunvor’s performance against four sustainability metrics.

Gunvor will be evaluated on its ability to cut greenhouse gas emissions directly caused by its activities, as well as scope 3 emissions – those produced by supply chain partners – by improving the energy efficiency of its shipping fleet.

The trader will also be assessed on the basis of its investments in non-fossil fuel projects, while Gunvor’s assets, joint ventures and suppliers will be judged against UN human rights principles.