Carlyle announces decarbonisation-linked financing programme

Investment firm Carlyle’s global credit platform has launched a decarbonisation-linked financing programme where financing terms will be tied to a borrower’s ability to meet climate targets. According to Carlyle, the firm’s environmental, social and governance (ESG) team will work with borrowers to design and monitor key performance indicators. The team will also support and provide expertise to borrowers. Carlyle claimed the initiative is the first of its kind in the US private credit market. Mark Jenkins, Carlyle’s head of global credit, said, “We believe that strong ESG competencies are a hallmark of management excellence, and that successful decarbonisation requires meaningful engagement between investors and businesses. Through this programme, we seek to drive value by helping borrowers improve their competitive positioning, while building on Carlyle’s long history of ESG integration.”