Watson Farley & Williams ("WFW") advised Pacific Basin Shipping ("Pacific Basin") on a US$250m sustainability-linked seven-year senior secured committed revolving credit facility. The facility will be used for general corporate purposes, supporting Pacific Basin’s growth strategy and sustainability ambitions.
This sustainability-linked facility incorporates a tiered pricing mechanism, where the interest margin adjusts based on Pacific Basin’s performance against predetermined key performance indicators (KPIs) and annual sustainability performance targets (SPTs).
Pacific Basin's commitment
The KPIs focus on carbon intensity and crew safety — critical environmental and social priorities for the shipping industry
The KPIs focus on carbon intensity and crew safety — critical environmental and social priorities for the shipping industry. These align with Pacific Basin's commitment to sustainable shipping and its broader corporate sustainability agenda, which includes a net-zero target by 2050 and a strong focus on crew wellbeing.
Pacific Basin is a specialist Handysize and Supramax bulk carrier owner and operator. It is engaged in international dry bulk shipping through the operation of a fleet of vessels that carry diverse cargoes for many of the world’s major commodity groups.
ESG-aligned financial solutions
The WFW Asia Assets and Structured Finance team that advised Pacific Basin was led by Hong Kong Consultant - Madeline Leong, supported by Associates - Thomas Wan and Kaylee Lam.
Madeline Leong commented: "We are delighted to continue our strong relationship with Pacific Basin and to support and advise them on yet another sustainability-linked instrument, demonstrating the firm’s commitment to advising clients on innovative, ESG-aligned financial solutions."
