You are here: Home » International » News » Companies
Business Standard

DBS Bank issues maiden green loans in India worth Rs 1,050 cr to CapitaLand

DBS Bank on Wednesday said it has issued its first two green loans in India totalling Rs 1,050 crore to CapitaLand.

Topics
DBS Bank | Bank loans

Press Trust of India  |  New Delhi 

Only Lakshmi Vilas Bank's deposits will appear on the books of the India unit of DBS Group Holdings Ltd., Singapore’s biggest bank

on Wednesday said it has issued its first two green loans in India totalling Rs 1,050 crore to CapitaLand.

DBS grows its sustainable financing footprint with maiden green loans in India totalling Rs 1,050 crore. Both green loans are also the first to be issued in India by a Singapore bank, said in a release.

The lender issued a three-year Rs 425 crore (SGD 80.8 million) loan to refinance construction financing for the development of phase 1 of Tech Park Gurgaon (ITPG) and other general corporate purposes related to the project, it added.

Another four-and-a-half-year Rs 625 crore (SGD 118.8 million) loan has been issued to finance construction costs for phase 1 of Tech Park Chennai, Radial Road (ITPC-RR).

Located in Gurugram, ITPG is an 8 million square feet superior business space to be developed in phases.

Phase 1, offering 1 million square feet, is already operational, catering to leading IT organisations. Phase 2, currently under development, will offer 7,00,000 square feet of net leasable area and is targeted for completion in first quarter of 2022, the release said.

ITPG has obtained a pre-certified 'platinum' rating under the LEED (Leadership in Energy and Environmental Design) green building rating system administered by the US Green Building Council.

ITPC-RR, located in Chennai's IT corridor, has a 4.6 million square feet of development potential for premium grade A office space to cater to 45,000 professionals.

The IT park's first phase will comprise two buildings, offering a net leasable area of 1.25 million square feet for IT and IT-enabled services

The first and second blocks will be operational by fourth quarter of 2022 and second quarter of 2024, respectively. ITPC-RR has obtained a pre-certified 'platinum rating' as assessed by the Indian Green Building Council.

"We see immense potential for growth in Asia's sustainable financing market as look to furthering their sustainability agenda through responsible financing practices," DBS Group Head of Institutional Banking Tan Su Shan said.

"In becoming the first Singapore bank to finance green loans in India, we are also establishing Singapore as a regional sustainable financing hub with the expertise and experience to forge meaningful partnerships for a more sustainable Asia," Shan added.

Since 2018, DBS has concluded over 100 sustainable financing deals worth about SGD 15 billion, with India being a promising market with ample opportunities to go green, the release said.

Niraj Mittal, Managing Director and Country Head- Institutional Banking Group, India said, "The country presents a significant opportunity in the sustainable financing space and we will continue to partner with high-impact businesses to propel development while contributing towards environmental resilience.

"Financing projects such as CapitaLand's Tech Parks in India enables us to deliver economic value in line with our responsible banking ethos," Mittal added.

The World Economic Forum estimates that there is a USD 2.5 trillion annual financing gap that stands in the way of the community achieving United Nations Sustainable Development Goals, the bank said.

"The securing of our first green loans in India demonstrates CapitaLand's commitment to growing our business in a responsible manner as we create long-term value for our stakeholders," said Vinamra Srivastava, CEO, Business Parks, CapitaLand India.

CapitaLand Limited (CapitaLand) is one of Asia's largest diversified real estate groups, headquartered and listed in Singapore.

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

Dear Reader,


Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor

First Published: Wed, November 18 2020. 19:18 IST
RECOMMENDED FOR YOU
.