OCBC and DBS Provide Green Loans for Singapore Developer
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Singapore developer Tiong Seng has secured S$125 million of green loans and performance-linked facilitates from OCBC and DBS, respectively.
OCBC and DBS provided around $51.4 million and $40.4 million, respectively, according to a regulatory filing.
The OCBC loan will be used exclusively on green projects with «clear environmental benefits» such as certified green buildings and projects that improve resource efficiency or generate renewable energy.
The DBS loan will include environmental performance-linked benefits including interest rate and performance bond commission discounts if certain predetermined targets are exceeded. Review and validation will be conducted by an external independent party at the end of each 1-year period.
Apart from diversifying our sources of funding, these facilities will allow us to focus on our environmental and green objectives to make a positive difference in our society, said Tiong Seng Holdings chief executive.
Questions & Answers
Q.What is the total value of the green loans and performance-linked facilities Tiong Seng has secured?
What is the total value of the green loans and performance-linked facilities Tiong Seng has secured?
Tiong Seng has secured S$125 million in total. This includes both the green loans and the performance-linked facilities provided by OCBC and DBS.
Q.How will OCBC's loan specifically be used by Tiong Seng?
How will OCBC's loan specifically be used by Tiong Seng?
The OCBC loan is designated for green projects with clear environmental benefits. These include certified green buildings, projects enhancing resource efficiency, or those generating renewable energy.
Q.What kind of benefits does the DBS loan offer Tiong Seng?
What kind of benefits does the DBS loan offer Tiong Seng?
The DBS loan provides environmental performance-linked benefits. Tiong Seng can receive interest rate and performance bond commission discounts if specific predetermined environmental targets are exceeded.
Q.Who will verify if Tiong Seng meets the environmental targets for the DBS loan benefits?
Who will verify if Tiong Seng meets the environmental targets for the DBS loan benefits?
An external independent party will conduct a review and validation. This assessment will happen at the end of each one-year period to confirm if the targets have been met.
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