Green Delta Capital secures sustainability bond for Runner Automobiles

Green Delta Capital Limited (GDCL) has successfully closed the subscription of a sustainability bond for Runner Automobiles PLC. According to a press release, this is the first-ever sustainability bond in Bangladesh certified by Moody's Investors Service Singapore Pte.

Green Delta Capital Limited (GDCL) acted as Lead Arranger and Transaction to the Adviser to raise BDT 2,675 million for the issuance of Runner Auto Sustainability Bond with a tenor period of 7 years by Runner Automobiles PLC. The proceeds from this bond will go towards enhancing the credit support mechanism as well as the construction of a 4MW rooftop solar plant for its 3W manufacturing facility in Bhaluka, Mymensingh.

The features of the bond are aligned with the International Capital Market Association's (ICMA) Sustainability Bond Guidelines 2021. Moody's is a global integrated risk assessment firm that empowers organisations to make better decisions. Moody's Investors Service Singapore Pte is a part of the organisation dedicated to providing independent analysis of sustainable financing frameworks.

The bond is backed by the guarantee of GuarantCo Limited, a guarantee provider company based in Mauritius. The subscribers of the bond are American Life Insurance Company Limited and Green Delta Insurance. DBH Finance PLC has been designated as the trustee of the issue, while Green Delta Capital Limited has been appointed as the Security Agent.