Emirates NBD and Landmark Retail sign first private sector ESG-linked working Capital facility agreement in Saudi

Emirates NBD, the leading banking group in the MENAT (Middle East, North Africa and Turkey) region, has announced the signing of an ESG-linked working Capital facility with Landmark Retail: the leading value conglomerate in the retail sector in the Middle East. This marks the first time a private sector company has signed a bilateral sustainability-linked loan in KSA.

Officially announced at a signing ceremony held on September 4, 2024, at Emirates NBD’s HQ in Riyadh, the partnership underlines both parties’ long-standing commitment to Vision 2030 and the Kingdom’s sustainability goals. The collaboration is fully aligned with Landmark Retail’s ongoing efforts to achieve Net-Zero and extends its efforts to provide even greater access to a comprehensive suite of leading-edge sustainable financial solutions. 

The agreement was signed in the presence of leading officials and representatives from both companies. Rajesh Garg, Group Chief Financial Officer, Landmark Group, was joined at the event by the omnichannel Retail conglomerate’s Head of Treasury, Shabbir Ahmad; and Deputy General Manager of Finance, Ravi Chandran. 

Emirates NBD was represented at the signing ceremony by the bank’s Group Co-Head of Corporate Coverage, Corporate and Institutional Banking, Pri McNair; and its Country Head, Corporate and Institutional Banking, Ahmed Alghamdi.

The agreement builds on Emirates NBD’s previous partnerships with Landmark Retail, strengthening the ties between both entities and consolidating their relationship. It marks the launch of the second ESG-linked facility between Emirates NBD and Landmark Retail, following the leading conglomerate’s decision to transition from its working capital facility to a sustainability-linked loan in 2022. The ESG-linked objectives are increasing the contribution of renewables in Landmark’s energy utilization and increasing the composition of sustainable materials in its retail products. The KPIs under this loan fit well within Landmark’s journey of becoming circular & climate positive via a holistic framework encompassing sustainable products, sustainable operations & sustainable customer journeys.

Pri Mcnair, Group Co-Head of Corporate Coverage, Emirates NBD, said: “We are proud to be playing a key role in promoting sustainable financing in Saudi Arabia by supporting our long-standing partner Landmark Retail. This milestone agreement underscores our shared commitment to environmental stewardship and driving meaningful change through ESG-linked solutions. By partnering with leaders like Landmark to formulate bespoke sustainability-focused structures, we are paving the way for sustainable transition and reinforcing our role as a leader in steering impact on business models contributing to a greener future in the Kingdom.”

She added: “This speaks to our latest agreement with Landmark Retail: a company that has demonstrated its commitment to being a leading proponent of regional retail and sustainable service excellence. We look forward to working even more closely with the group to realize its potential and implement its ESG strategy.”

Rajesh Garg, Group Chief Financial Officer, Landmark Retail, said: “We are committed to conducting our business responsibly, by driving positive changes to reduce the environmental impact of our operations. We understand the important role we play in our industry and take it upon ourselves to act as flagbearers of responsible business, working as ethically and conscientiously as possible to protect people and planet. Our agreement with Emirates NBD is fully geared towards accomplishing just that, marking another important milestone in our and the Kingdom’s journey towards greater sustainability.”