Sweden: MUFG and Societe Generale Support Clean Urban Transport in Gothenburg with EIB Credit Line

(European Investment Bank) ... The SEK 1.2bn financing operation facilitates the acquisition of 297 electric and biofuel buses being leased to Transdev for its use on five concessions in Gothenburg, starting from December 2020.

In March 2019, Transdev won five 10-year contracts to operate bus services as from December 2020 in Gothenburg, Sweden’s second-largest city. The commissioning of the green bus fleet, running exclusively on electricity from renewable energies or on biofuels, supports the city of Gothenburg in reaching its goal of switching all city transport to electric by 2030.

In order to provide Transdev with the best financing conditions, Societe Generale’s participation will be funded by the European Investment Bank (EIB). Through this deal, all three banks – the EIB, Societe Generale and MUFG – renew their cooperation and commitment to advance the sustainable energy transition of our societies.

The EIB, under its recently approved “Climate Bank Roadmap” will dedicate half of all its investments to the fight against climate change by 2025. Societe Generale has reiterated its target to help raise €120bn between 2019 and 2023 through a range of sustainable financing solutions (credit, bonds, advisory). By the end of September 2020, it had already achieved 60% of this target. In May 2019, MUFG announced its aim to provide a cumulative total of JPY 20tn (circa USD 189bn) in sustainable finance between 2019 and 2030 to help build a sustainable society and attain the UN's Sustainable Development Goals through the provision of financial services to clients.

MUFG and Societe Generale also assisted Transdev in achieving the first green leasing transaction for the wider Transdev Group and set up a green loan framework in line with the Loan Market Association's Green Loan Principles. READ MORE