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Sun King Launches Its Sustainable Financing Framework

29th June 2023

A Sun King field agents walks down a dirt road in Kenya carrying Sun King products surrounded by verdant nature and trees.

Sun King launches its Moody’s-rated Sustainable Financing Framework to reaffirm its dedication to promote transparency, responsibility, and sustainability across its financing activities.

In May, Sun King, a leading off-grid solar company, launched its Sustainable Financing Framework to enhance the sustainability of its fundraising and investing activities. The framework has received a Second Party Opinion from Moody’s Investor Relations of ‘Very Good’, the second highest score, demonstrating the strategy’s significant contribution to sustainability and the UN’s Sustainable Development Goals.

The framework explains Sun King’s approach to integrating Environmental, Social, and Governance (ESG) considerations into specific financial instruments, which facilitate enhanced access to clean energy and contribute to meeting the United Nation’s Sustainable Development Goals. For example, the framework acted as the foundation for Sun King’s recent securitisation transaction that expanded Kenyans’ access to finance to purchase green, affordable solar systems through Sun King’s pay-as-you-go offering.

The Sustainable Financing Framework covers Sun King’s commitment to sustainable financing practices. The company has established its Use-Of-Proceeds Framework to finance projects that improve access to solar home systems, solar appliances, and other ESG-aligned products.  

By implementing this framework, Sun King reaffirms its dedication to promoting responsible financial practices, enhancing access to clean energy, and contributing to a more sustainable future. From creating employment opportunities for the unemployed and women to improving household savings for food and school fees as well as eliminating harmful kerosene and gas generators and promoting financial inclusion through pay-as-you-go services, the framework traces how Sun King drives progress across a wide range of SDGs.

Marking the launch of the framework, Krishna Swaroop, Chief Financial Officer at Sun King noted, “Consumers invest in our products to improve their families’ lives. Investors choose Sun King as a catalyst for a brighter, greener, and more prosperous future. We uphold this trust by setting forth high ethical, social, and environmental standards and fostering transparency in the allocation of funds across our entire business, ensuring that every financial decision reflects our commitment to our stakeholders and the planet.”

The framework demonstrates Sun King’s alignment with the Green and Social Bond and Loan Principles established by leading international organizations such as the International Capital Market Association (ICMA), Loan Market Association (LMA), Asia Pacific Loan Market Association (APLMA), and Loan Syndications and Trading Association (LSTA).

Read Sun King’s Sustainable Financing Framework and Moody’s Second Party Opinion.