Second-Party Opinion Download

Sustainalytics is of the opinion that the Cordia International SE Green Finance Framework is credible and impactful and aligns with the four core components of the Green Bond Principles 2021. This assessment is based on the following: 

USE OF PROCEEDS

The eligible categories for the use of proceeds Green Buildings, Energy Efficiency, Renewable Energy, and Clean Transportation are aligned with those recognized by the Green Bond Principles. Sustainalytics considers that investments in the eligible categories will lead to positive environmental impacts and advance the UN Sustainable Development Goals, specifically SDGs 7 and 11. 

PROJECT EVALUATION AND SELECTION

Cordia’s internal process in evaluating and selecting projects will be managed by its Green Finance Committee. The Committee will meet on an annual basis to review eligible projects and assets in compliance with the Framework. Cordia’s environmental and social risk management processes are applicable to all allocation decisions made under the Framework. Sustainalytics considers these risk management systems to be adequate and the Company’s process for project selection to be in line with market practice.  

MANAGEMENT OF PROCEEDS

Cordia’s processes for management of proceeds is overseen by its Green Finance Committee. The Company intends to allocate the proceeds to a dedicated green account or to maintain a green portfolio that matches or exceeds the net proceeds from green bonds issued under the Framework. The Company has communicated to Sustainalytics that it intends to fully allocate the proceeds within 24 months from the date of issuance. Pending full allocation, proceeds may be held in cash or deposits or invested in securities, investments funds and financial instruments. This is in line with market practice. 

REPORTING

Cordia commits to report on allocation of proceeds on its website on an annual basis until full allocation. Allocation reporting will include total amount of proceeds allocated, balance of unallocated proceeds, the remaining balance of the green portfolio, the share of financing and refinancing, and geographical distribution of eligible projects. Cordia has also committed to reporting on relevant impact metrics. This is in line with market practice.