Certification

The Climate Bonds Standard and Certification Scheme is a labelling scheme for bonds, loans & other debt instruments. Rigorous scientific criteria ensure that it is consistent with the goals of the Paris Climate Agreement to limit warming to under 2 degrees. The Scheme is used globally by bond issuers, governments, investors and the financial markets to prioritise investments which genuinely contribute to addressing climate change.

 

Ecoagro-Rizoma

 

 

Rizoma Agro is a large organic farm operator in Brazil. They operate 2 farms with a total area of 1,200 hectares, and a grain silo, in the state of Sao Paolo. They are the largest grower of organic grains in Brazil and they export to the Europe and North American markets.

EcoAgro was set up in 2007 to structure financial transactions to help the agribusiness sector in Brazil. They issue Agribusiness Receivables Certificate (CRA), an agriculture related securitisation product regulated by the Brazil SEC (“CVM”).

The CRA is backed by a Cédula de Produtor Rural Financeira (CPR-F) issued by Rizoma Agricultura. Ecoagro transfers the funds raised by the securitisation to Rizoma. This structure gives Rizoma access to the capital markets.

This is the first verification conducted by Bureau Veritas Brazil, and also the first Certification with the Agriculture Criteria.

The proceeds will be used to finance the issuer’s expenditures which fall under the following sections of the Agriculture Criteria:

3.1 Agricultural Production Unit

3.2 Specific Intervention within Agricultural Production Unit

The specific projects include expenditure on crop inputs, crop cultivation and processing, crop machinery, expansion of the silo capacity, and a few other activities. 

 

DATE OF ISSUE

TENOR TYPE OF INSTRUMENT

SIZE

COUNTRY OF ISSUE

CLIMATE BONDS SECTOR CRITERIA

VERIFIER'S REPORT

ANNUAL REPORT FURTHER INFORMATION
August 2020 7 years Agribusiness Receivables Certificate (CRA) BRL 25 million (USD 4.5 million) Brazil

Agriculture

pre issuance verification

 

Green Bond Framework

Presentation deck (in Portuguese)