PZ Cussons agrees new ‘green’ £325m credit facility
The Manchester firm behind brands including Carex and Imperial Leather, PZ Cussons, has agreed a new £325m credit facility.
The new facility includes a pricing structure linked to PZ Cussons’ new sustainability framework, ‘Better For All’, incorporating ESG Key Performance Indicators focused on achieving B Corp certification by 2025, reduction in virgin plastic packaging and reducing carbon emissions.
Provided by a syndicate of lenders, the credit facility incorporates both a term loan and revolving credit facility structure, with maturity dates of up to November 2028, and replaces the existing £325m facility due to in November 2023.
Sarah Pollard, Chief Financial Officer of PZ Cussons, said: “We are delighted to announce this refinancing, demonstrating our commitment to embed our sustainability framework into all parts of our business, while achieving attractive commercial terms. We are grateful for the support of our lending syndicate in this highly innovative facility.”
The company said sustainability “is core to the way PZ Cussons operates” and in its FY22 Annual Report the Group set out new ESG targets and will set more in FY23 as it continues to build its strategy.
It said these will be designed to “demonstrate real progress to stakeholders, but also reflective of the size and complexity of the Group, and the progress it has already made in many areas.”
The new sustainability framework, aligned to PZ Cussons’ Purpose, “For everyone, for life, for good” and set out in the FY22 Annual Report, includes:
The Group’s guidance of FY23 net interest charge of £4m remains unchanged as a result of the refinancing.
The new credit facility was arranged by BNP Paribas and Lloyds Bank.