Company

1 April 2021

REWE Group refinances €750 million

First sustainability-linked credit line

The REWE Group is refinancing its €1 billion syndicated loan from 2020, having arranged a creditline aligned with the ISS ESG agency’s ESG rating for the first time in the cooperative group’s history. This ESG/sustainable finance instrument allows the REWE Group to extend its sustainability strategy into the financial sector for the first time. ISS ESG assigned to REWE Group a rating of C+, corresponding to the ‘Prime’ level. The company’s transparency level is rated as ‘very high’. The ISS ESG report states that “sustainable products and services are at the heart of REWE Group’s sustainability strategy, and the company recognizes its responsibility to promote sustainable consumption.”

The €750 million backup line has been signed with ten banks. It has an 18-month maturity with the option to extend for an additional twelve months. UniCredit Bank AG served as the documentation agent, DZ Bank AG as the facility agent and Raiffeisen Bank International AG as the sustainability agent.

“We are proud of this development for two reasons. This is the first time that we have linked a credit line to sustainability factors, including working standards and conditions, the minimization of environmental impact over product life cycles, climate protection, socially and environmentally friendly products and the transparency of customer information. Additionally, we have achieved Prime status in the ESG rating in our first attempt, making us one of the best companies in our sector. This success is an endorsement of our long-standing commitment to sustainability,” says Dr. Christian Mielsch, CFO of REWE Group. He expressed his thanks to the banking consortium for demonstrating a maximum of confidence in REWE Group’s financial strength and strategy. “The refinancing of REWE Group’s backup line follows last year’s increase of liquidity reserves to 2.5 billion euros, enabling the Group to brace itself for future challenges and provide long-term stability and security to employees, customers and business partners alike,” concludes Dr. Mielsch.

About REWE Group

The cooperatively organized REWE Group is one of the leading trade and tourism groups in Germany and Europe. In 2020, the company generated a total external turnover of around 75 billion euros. Founded in 1927, REWE Group operates with 380,000 employees in 21 European countries.

 

The sales lines include REWE, REWE CENTER and BILLA as well as BILLA PLUS and ADEG supermarkets and consumer stores, the discounter PENNY, IKI, the drugstores BIPA and the toom Baumarkt DIY stores. The company also operates convenience stores REWE To Go and the e-commerce activities REWE Lieferservice and Zooroyal. The Lekkerland Group comprises the wholesale activities of the business group in the area of on-the-go consumption.Travel and tourism under the umbrella of DER Touristik Group includes the tour operators ITS, Jahn Reisen, Dertour, Meiers Weltreisen, Travelix, Kuoni, Helvetic Tours, ITS Coop Travel, Billa Reisen, Koning Aap, Apollo, Exim Tours and Fischer as well as more than 2,300 travel agencies (e.g. DER Reisebüro, DERPART, Kuoni, Exim, Fischer and cooperation partners), the hotel chains Sentido, Aldiana, Calimera, Cooee, and the direct tour operator Prijsvrij Vakanties.

Andreas_Kraemer
Contact
Andreas Krämer
Spokesperson REWE Group