MARC Ratings has assigned a “Gold” Impact Assessment to Evergreen Corporate Sdn Bhd’s (Evergreen) Sustainable Finance Framework (the Framework). The Framework incorporates green, social and sustainability projects falling under five categories: pollution prevention and control, renewable energy, environmentally sustainable management of living natural resources and land use, green buildings and employment generation, and prevention and/or alleviation of unemployment stemming from socioeconomic crises.
Evergreen started operations in 2009 and has become one of the leading companies in Malaysia pioneering the recycling industry for waste tyres and rubber. It is one of Pelaburan MARA Berhad’s (PMB) affiliate companies, in which PMB holds a 20% equity stake.
MARC Ratings is of the opinion that the Framework is aligned with the core components of the Green Bond Principles and Social Bond Principles of the International Capital Markets Association, the ASEAN Green Bond Standards and ASEAN Social Bond Standards of the ASEAN Capital Markets Forum, the Green Loan Principles and Social Loan Principles of the Loan Market Association, and the Securities Commission Malaysia’s Sustainable and Responsible Investment (SRI) Sukuk Framework.
MARC Ratings understands that the financing to be procured will be utilised to develop recycling facilities for waste tyres and rubber and any related activities, that are aligned with the United Nations’ Sustainable Development Goals and circular economy concept. The Framework considers environmental, social and governance factors, supporting the transition towards a more inclusive and resource-efficient economy.
In arriving at the Framework’s Gold assessment, MARC Ratings assessed the impact of the Use of Proceeds from the financing to be significant with clear social and environmental benefits.