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Keppel Infrastructure Trust unit secures $612.5m loan for sustainability goals

The unit will also use loan proceeds to repay an existing loan.

Keppel Infrastructure Trust (KIT) unit, Keppel Merlimau Cogen (KMC), obtained a $612.5m loan facility.

The sustainability-linked loan will incentivise KMC to produce efficient energy and focus on its commitment to long-term sustainability and carbon efficiency.

KMC will use the proceeds of the loan facility to refinance its existing $700m loan due on 30 June 2027, of which $612.5m is outstanding. 

The loan requires KMC to gradually pay back the loan amount and interest every six months, starting with smaller payments and increasing over time.

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