STX secures innovative credit facility of up-to EUR 150 million backed by environmental commodities
AMSTERDAM, April 13, 2023 /PRNewswire/ — STX Group (STX), a leading global environmental commodity trader and climate solutions provider, has closed an up-to EUR 150 million syndicated borrowing base credit facility to foster the rapid expansion of its business operations. The credit facility, which was comfortably oversubscribed, has the unique quality of being partially secured by a diverse portfolio of environmental commodities. This is the first time the banking system has appreciated the full value of the wide range of environmental commodities as security, which essentially is a necessity for leveling the playing field for the energy transition.
“With the energy transition in the heart of STX, we have been in the business of decarbonization for a long time, and are therefore pleased to see a group of mainstream global banks finally recognizing the underlying value of the wider range of environmental commodities,” says Bart Wesselink, STX’s Chief Financial & Risk Officer,
“The participating banks’ willingness to collaborate and innovate environmentally marks a pivotal step for the rapidly growing industry in which we are a market maker, as it enables greater access to financing and promotes a level playing field for contributors to the energy transition.”
“The banking community is used to accepting biofuels and financial instruments, such as European Union (EU) Emission Allowances, as collateral but we believe this is the first time that environmental commodities, such as Guarantees of Origin, Renewable Gas Certificates and various national compliance certificates were accepted as collateral,” he concludes.
The facility, which will significantly grow STX’s borrowing power, consists of a committed portion of EUR 75 million and an uncommitted accordion feature of EUR 75 million. The facility is provided by a syndicate of internationally renowned banks, dominant in commodities trade financing.
About STX Group
STX is a leading global environmental commodity trader and climate solutions provider. For over 15 years, the company has been at the forefront of the global transition towards a low-carbon economy. By leveraging its expertise in accurately pricing pollution and emissions, it has helped to cultivate trust in market-based solutions to the decarbonization of the economy.
With its trading and Corporate Climate Solutions offerings, STX ensures that money flows to hundreds and thousands of projects that make the world a greener place, while providing corporations with the certified proof-points of their contributions to environmental progress.
After acquiring Vertis and its subsidiary Strive in December 2021, the STX Group now boasts a diverse team of nearly 500 employees from over 50 countries. Headquartered in Amsterdam, the Netherlands, STX Group has 10 offices around the world and an annual trading volume of over EUR 4 billion.
For more information, please visit https://stxgroup.com/
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