Second-Party Opinion Download

Sustainalytics is of the opinion that the Perenna Sustainability Bond Framework is credible and impactful and aligns with the Sustainability Bond Guidelines 2021, Green Bond Principles 2021 and Social Bond Principles 2023. This assessment is based on the following:

USE OF PROCEEDS

The eligible categories for the use of proceeds — Energy Efficiency, Renewable Energy Technologies, Green Buildings and Access to Essential Services (Financing and Financial Services) — are aligned with those recognized by the Green Bond Principles and the Social Bond Principles. Sustainalytics considers that investments in the eligible categories will lead to positive environmental or social impacts and advance the UN Sustainable Development Goals, specifically SDGs 1, 7 and 9.

PROJECT EVALUATION AND SELECTION

Perenna’s Sustainability Bond Working Group will be responsible for the evaluation and selection of projects in line with the Framework’s eligibility criteria. Perenna has an internal process in place to identify environmental and social risks associated with the eligible activities. Sustainalytics considers the project selection process to be in line with market practice.

MANAGEMENT OF PROCEEDS

Perenna’s Treasury Department will be responsible for the management of proceeds and will track their allocation using its internal accounting, financial management and information systems. Perenna intends to allocate all proceeds within 24 months of issuance. Pending full allocation, Perenna will temporarily invest the proceeds in treasury bills and the Bank of England’s liquidity facilities. Perenna has confirmed the exclusion of temporary investments linked to carbon-intensive assets or activities. This is in line with market practice.

REPORTING

Perenna commits to report on the allocation of proceeds and, where possible, corresponding impacts, on its website on an annual basis while the bonds are outstanding. Allocation reporting will include the aggregate mortgage loans financed by proceeds, value and number of loans outstanding by project type and target population, aggregate size of the identified loan portfolio, nominal amount of bonds outstanding, share of the identified loan portfolio currently financed by sustainability bonds and amount of net proceeds awaiting allocation, if any. Sustainalytics views Perenna’s allocation and impact reporting as aligned with market practice.