Second-Party Opinion Download

Sustainalytics is of the opinion that the Trelleborg Green and Blue Bond Framework is credible and impactful and aligns with 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, Clean Transportation, and Sustainable Water and Wastewater Management– are aligned with those recognized by the Green Bond Principles. Sustainalytics considers that investments in the eligible categories will lead to positive environmental or social impacts and advance the UN Sustainable Development Goals, specifically SDG 6, 7, 9 and 11. 

PROJECT EVALUATION AND SELECTION

Trelleborg has established a Green Finance Committee, which is responsible for evaluating and selecting the projects in line with the Framework’s eligibility criteria. The Committee is composed of members from the Group Finance and Sustainability teams. Trelleborg has in place a risk management process, through which the legal team identifies and manages any environmental and social risks associated with eligible projects. Sustainalytics considers the project selection process to be in line with market practice.

MANAGEMENT OF PROCEEDS

Trelleborg’s Group Treasury function will be responsible for the management of net proceeds and will track their allocation using an internal tracking system through a portfolio approach. Trelleborg intends to allocate all proceeds within two years from the time of issuance. Pending allocation, proceeds will be placed in liquidity reserves and will follow the exclusion criteria under the Framework. This is in line with market practice.

REPORTING

Trelleborg intends to report on the allocation of proceeds and corresponding impacts on its website on an annual basis until full allocation or until a bond’s maturity in the event of material developments. Allocation reporting will include the total amount of green bonds and blue bonds outstanding; the allocated amounts per green project category; the share of proceeds used for new financing and refinancing; and the share of unallocated proceeds. Sustainalytics views Trelleborg’s allocation and impact reporting as aligned with market practice.