Wednesday, Jan 31, 2024
MARC Ratings has assigned a "Silver" Impact Assessment to Sunway Velocity Three Sdn Bhd’s (SV3) Sustainable Financing Framework. The framework has been established to set the guiding principles for SV3’s issuance of sustainable financing instruments for specific eligible projects that contribute towards environmental and social benefits.
SV3, formerly known as Tanda Warisan Sdn Bhd, is a property development company in which Sunway Berhad through Sunway City Sdn Bhd holds 60% interest, Huatland Development Sdn Bhd 32%, and CRSC Property Sdn Bhd 8%; all three entities are involved in property development and investment. SV3 is currently developing serviced apartment buildings in Kuala Lumpur. The apartment buildings have ready access to public transportation. SV3 is aiming to achieve green certification for these apartment buildings. Sunway Berhad has also developed other green-certified buildings with considerations on energy and water efficiency, greenery, and reduction of indoor air pollutants, in line with the Sunway Group’s policy for all new buildings completed from 2025 onwards to be green-certified.
Proceeds raised from the issuance of sustainable finance instruments will be channelled towards eligible projects under the following categories to address the respective United Nations Sustainable Development Goals (UN SDGs):
• Green Building: UN SDGs 3, 7, 8, 9, 11, 12, 13, 15 and 17
• Renewable Energy: UN SDGs 7, 11, 12 and 13
MARC Ratings has assessed the framework and is satisfied that it is aligned with the core components of the Sustainable and Responsible Investment Sukuk Framework of the Securities Commission Malaysia; the Green Bond Standards, Social Bond Standards, and Sustainability Bond Standards of the ASEAN Capital Markets Forum; and the Green Bond Principles, Social Bond Principles, and Sustainability Bond Guidelines of the International Capital Market Association, among others.
In arriving at the framework’s Silver assessment, MARC Ratings opines that the impact of the Use of Proceeds is fairly significant, with social and environmental benefits that support 9 of the 17 UN SDGs.
The full Sustainable Financing Framework Assessment can be accessed here.
Contact:
+603-2717 2963/ marc@marc.com.my