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Phoenix Tower converts financing into a sustainability loan

The company says the facilities will support PTI’s future growth in delivering critical and energy-conscious tower infrastructure to new and existing markets around the world.

Tower companies such as PTI are under increasing pressure to reduce carbon emissions from cell sites to help meet their clients’ sustainability goals.

The €1.2 billion credit facility was closed in September 2023, but has since been converted into an SLL with three key KPIs.

First, PTI must reduce the scope 1 and 2 greenhouse gas intensity per location and make their scope 3 emissions public.

PTI will also have to improve its GRESB score. GRESB is an independent organization that provides validated ESG performance data and peer benchmarks for investors. The scoring will take place according to the GRESB Infrastructure Asset Assessment methodology.

Finally, at each tower location where PTI provides lighting, the lighting must be converted to LED lamps, or powered entirely by solar energy.

On-site solar generation has been an emerging trend for mobile sites for several years, but the limited power they can generate on a consistent basis makes them better suited for ancillary functions such as lighting, alarms and battery charging under certain conditions.

CEO Dagan Kasavana reiterated PTI’s commitment to delivering wireless communications technology to communities and countries in need of greater connectivity, in the most efficient and environmentally friendly manner possible.

“As long-time owners of wireless infrastructure, we have the opportunity to lead on this important issue and we know it is important to our customers, the communities in which we do business and the industry as a whole. That is why we set high standards for ourselves and have committed ourselves to this SLL,” he said.

Dutch financial services provider ING acted as jointly mandated lead arranger, bookrunner and sole sustainability coordinator for the deal.

“ING supports customers to be one step ahead in digital connectivity, and is proud that PTI is also expanding its leadership in sustainability,” said Ana Carolina Oliveira, head of TMT/healthcare Americas at ING.

“This deal demonstrates PTI’s commitment to advancing its sustainability initiatives by linking its financing to a comprehensive set of material KPIs,” said Suleyman Kilci, vice president of sustainable finance at ING Americas.

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