Second-Party Opinion Download

Sustainalytics is of the opinion that the Bonava Green Financing Framework is credible and impactful and aligns with the four core components of the Green Bond Principles 2018 and Green Loan Principles 2018. This assessment is based on the following:

USE OF PROCEEDS

The eligible category for the use of proceeds – green and energy efficient buildings – is aligned with those recognized by the Green Bond Principles 2018 and Green Loan Principles 2018. Sustainalytics considers that the eligible category will lead to positive environmental impacts and advance the UN Sustainable Development Goals, particularly Goals 7 and 11.

PROJECT EVALUATION/SELECTION

Bonava has defined a two-step process for asset evaluation and selection; internal sustainability experts will conduct initial asset evaluation, and a dedicated Green Financing Committee – comprised of the Group Head of Sustainability, Group Head of Treasury and Group Head of Strategy & Analysis – will be responsible for managing final selection and approval. The Committee will convene annually and will monitor green assets to ensure ongoing eligibility. This process is aligned with market practice.

MANAGEMENT OF PROCEEDS

Bonava’s Green Finance Committee will track allocated and unallocated green debt net proceeds through a Green Register. Pending full allocation, unallocated proceeds may temporarily be placed in short-term interest-bearing securities. Sustainalytics considers this approach to be aligned with market practice.

REPORTING

Bonava has committed to allocation and impact reporting in a Green Debt Report, which will be produced on an annual basis and until full allocation. The allocation reporting will include relevant data such as the total allocation of green debt net proceeds to green assets, and the proportion of net proceeds used for financing versus refinancing. The impact reporting will include quantitative metrics, where feasible. Bonava commits to engaging an external independent auditor to review the portfolio of green assets on an annual basis. This process is aligned with market practice.