Cleary Gottlieb secures loan for Chile’s CMPC
Cleary Gottlieb has represented Chilean pulp and paper producer Empresas CMPC, as guarantor, and its subsidiary Inversiones CMPC, as borrower, in connection with a $100 million sustainability-linked revolving credit facility.
The facility is one of the first sustainability-linked credit facilities established in Chile.
BNP Paribas acted as administrative agent and sustainability structuring agent and the bank syndicate consisted of BNP Paribas Securities Corp., Export Development Canada, MUFG Bank, and Sumitomo Mitsui Banking Corporation.
Empresas CMPC has decided to index the financial costs of the facility to environmental and social performance indicators, in line with the company’s sustainability strategy and ESG goals.
The four non-financial criteria introduced into the calculation of the facility’s financing costs relate to greenhouse gas emissions, industrial water use, industrial waste to landfill, and area for protection, conservation and restoration.
The Cleary Gottlieb team included partner Adam Brenneman (pictured) associates Patricia de Lucio and Shelbi Vaughn, and law clerk Steven Diaz. Senior attorney David Fisher and associate JinSol Lee provided U.S. tax advice. Senior attorney James Corsiglia provided sanctions advice. All lawyers are based in New York.
