MILAN (Reuters) - A pool of Italian banks has granted a 500-million euro ($587 million) loan to Lavazza to fund projects aimed at making the coffee maker more sustainable, a statement issued by the lenders said on Tuesday.
BNP Paribas (PA:BNPP)'s BNL, Banco BPM and Intesa Sanpaolo (MI:ISP) have acted as mandated lead arrangers and lenders in the transaction that involves a term loan and a revolving credit line, both with a five-year maturity, the banks said.
"The financing is linked to Lavazza's specific ESG (Environmental, Social and Governance) goals," the banks said, adding it entails a bonus mechanism linked to the achievement of specific sustainability targets.
The banks were assisted by the law firm Bonelli Erede, while Lavazza was assisted by the law firm Clifford Chance.
($1 = 0.8523 euros)