L&T Finance : raises its first Rs 200 Cr Sustainability Linked Rupee Loan

Press Release

Thursday, March 31, 2022, Mumbai

L&T Finance raises its first Rs 200 Cr Sustainability Linked Rupee Loan

L&T Finance (LTF), a wholly owned subsidiary of L&T Finance Holdings (LTFH) - one of the leading Non-Banking Financial Company (NBFC), secured its first Sustainability Linked Rupee Loan of Rs 200 Cr, from the Indian arm of the French multinational investment bank and financial services company - Société Générale. This is the first rupee denominated Sustainability Linked Loan (SLL) for both Société Générale and LTF.

For India, a sustainable future is contingent upon financial inclusion, and NBFCs like LTF have a crucial role to play in this mission. LTF is actively involved in helping Indian women get a sustainable livelihood and become self-reliant through lending and CSR initiatives.

Under the facility, LTF has committed to achieving progress on three important sustainability linked Key Performance Indicators (KPIs) relating to (i) Responsible Lending to women entrepreneurs especially in underserved communities, (ii) Water Positivity, and (iii) Carbon Sequestration.

The Sustainability linked KPIs will be measured annually by an independent third-party assurer and the progress reported in the Company's annual report on sustainability performance. The Company's progress across KPIs will lead to either reduction or increase in interest rates on the credit facility.

"LTF is among the first NBFCs in the country to raise low-cost credit via a Sustainability Linked Rupee Loan, a milestone achievement as the Company continues on its retailisation journey in service of its customers" said Mr. Dinanath Dubhashi, Managing Director & CEO of L&T Finance Holdings. He further added, "Going forward, sustainability focused financing will increasingly play a critical role across borrowers and lenders in helping drive sustainable growth in the country."

Mr. Toby Lawson, Chief Executive and Chief Country Officer of Société Générale India said, "We were delighted to support LTF in their inaugural Rupee-denominated Sustainability-Linked Loan with notably a specific commitment to increase micro loans to women entrepreneurs in the rural communities. This is aligned with our ambition to support our clients in generating positive impact by acting for communities across geographies. Our teams are committed to support our clients in India through their sustainability journey and to advance on the United Nations Sustainable Development Goals."

The proceeds from the loan will be used for onward lending across Wholesale, Urban and Rural Customers.

About L&T Finance Holdings (LTFH):

LTFH (www.ltfs.com) is one of India's leading Non-Banking Financial Company (NBFC) that offers a range of financial products and services through its wholly owned subsidiaries. L&T Financial Services (LTFS) is the brand name of L&T Finance Holdings Limited and its subsidiaries. Headquartered in Mumbai, LTFH has been rated AAA - the highest credit rating for NBFCs - by four leading rating agencies. L&T Financial Services has been certified as a constituent company in the FTSE4Good Index Series, for its ESG standards. LTFS was awarded FICCI's Corporate Social Responsibility Award for "Women Empowerment" for Digital Sakhi, its flagship CSR program.

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About Société Générale :

Société Générale is one of the leading European financial services groups. Based on a diversified and integrated banking model, the Group combines financial strength and proven expertise in innovation with a strategy of sustainable growth. Committed to the positive transformations of the world's societies and economies, Société Générale and its teams seek to build, day after day, together with its clients, a better and sustainable future through responsible and innovative financial solutions.

Active in the real economy for over 150 years, with a solid position in Europe and connected to the rest of the world, Société Générale has over 133,000 members of staff in 61 countries and supports on a daily basis 30 million individual clients, businesses and institutional investors around the world by offering a wide range of advisory services and tailored financial solutions. The Group is built on three complementary core businesses:

• ▪ French Retail Banking which encompasses the Société Générale, Credit du Nord and Boursorama brands. Each offers a full range of financial services with omnichannel products at the cutting edge of digital innovation;

• ▪ International Retail Banking, Insurance and Financial Services to Corporates, with networks in Africa, Russia, Central and Eastern Europe and specialised businesses that are leaders in their markets;

• ▪ Global Banking and Investor Solutions, which offers recognised expertise, key international locations and integrated solutions.

Société Générale is included in the principal socially responsible investment indices: DJSI (Europe), FTSE4Good (Global and Europe), Bloomberg Gender-Equality Index, Refinitiv Diversity and Inclusion Index, Euronext Vigeo (Europe and Eurozone), STOXX Global ESG Leaders indexes, and the MSCI Low Carbon Leaders Index (World and Europe).

For more information, you can follow us on LinkedIn at Societe Generale Corporate and Investment Banking - SGCIB or visit our websitehttps://wholesale.banking.societegenerale.com/en/

For further information, please contact:

L&T Financial Services Mona Kwatra, Sporshita Goswami [e-mail],[e-mail] Ph: [phone] / [phone]

Ketchum Sampark Girish Dikey, Khushal Devera [e-mail],[e-mail] Ph: [phone], [phone]