Birla Carbon, a global leader in manufacturing high quality carbon black solutions has announced execution of the first sustainability linked loan US $750 million with a syndicate of more than 15 banks. 

 

The proceeds from the loan will be used to refinance Birla Carbon’s existing debts. The announcement is of added significance as Birla Carbon has announced the launch of the Continua brand of Sustainable Carbonaceous Materials (SCM) and its aspiration to achieve net zero carbon emissions by 2050. 

 

Speaking about this program, John Loudermilk, Chief Executive Officer, Birla Carbon said, “Sustainability and innovation are two of Birla Carbon’s key pillars responsible for our leadership in the industry. Pursuing the goal of sustainable business growth, aligned with our purpose has brought immense synergies of shared aspirations with all our business partners and stakeholders.” 

 

Echoing his thoughts, Surendra Goyal, Chief Financial Officer, Birla Carbon said, “With the launch of SCMs with the Continua brand, our aspiration to reach net zero carbon emissions by 2050, and the sustainability linked loan, we are now better placed to give Birla Carbon a real competitive advantage, in the years to come. Linking our borrowing programs to these pillars of growth sets us on a path that will double our success.”

 

Key KPI’s to the facility include: Direct CO2 intensity; Bringing circular products to market; and an external rating of sustainability. Pivoting on carbon emissions and circularity, the structure emphasizes the business’s two most relevant sustainability aspects while encompassing the broader ESG canvas through a sustainability rating.

 

Birla Carbon provides innovative sustainable carbon black solutions that enhance the performance of paints and coatings, inks, and toners, plastics, adhesives, sealants, textile fibers, mechanical rubber goods, and tires. The company’s footprint extends across 12 countries with 16 manufacturing facilities and two technology centers in Marietta (USA) and Taloja (India), providing industry-leading innovation.