Zeppelin ESG-linked Schuldschein

Overview
Project Summary Document
Environmental and Social Documentation
Procurement
Complaints

Overview

Participation of up to EUR 25 million in ESG-linked Schuldschein, German law senior unsecured loan notes, issued by Zeppelin GmbH, Munich, Germany ("Zeppelin"). EUR 10 million will be committed at signing, with EUR 15 million uncommitted.

Project ID 54895

Status Disbursing

Location

Uzbekistan

Business Sector

Natural Resources

Notice Type

Private

Project timeline

Exploratory
Passed Concept Review
Passed Structure Review
Passed Final Review
Board Approved
Signed
Implementing
Completed

Company Contact Information

Rolf Steinemann, Head of Group Treasury
Rolf.Steinemann@zeppelin.com

Project ID 54895

Status Disbursing

Location

Uzbekistan

Business Sector

Natural Resources

Notice Type

Private

Environmental Category

Approval Date

05 Dec 2023

Disclosure date

01 May 2024

As permitted by paragraph 2.6 of Section III of the Access to Information Policy, disclosure of this PSD was deferred in accordance with paragraph 1.4.4 of the Directive on Access to Information.

As per section 1.4.2 (iii) of the Directive on Access to Information: "For Projects approved by Bank management where the Board of Directors has delegated the approval authority, the PSD shall be disclosed at the start of the relevant no-objection notification period to a member country of the Bank in accordance with Article 13 (iii) of the Agreement Establishing the EBRD."

Project description

Project objectives

The Bank's financing will support Zeppelin's operations in Uzbekistan as well as in Armenia and Ukraine.

Transition impact

ETI Score:65

ion impact will stem from the following qualities:

Green: Zeppelin is committed to become carbon-neutral by 2030 (Scope 1&2) as per its low-carbon development strategy. The Bank will invest in an ESG-linked Schuldschein which includes KPIs/targets to reduce the energy consumption for operations in Uzbekistan, Armenia and Ukraine beside other countries contributing to climate mitigation. The project is 100% GET.

Well-governed: The Bank is working with the Government of Uzbekistan to support the implementation of the new subsoil law prepared in cooperation with EBRD including the arrangement of a pilot auction/tender-based licensing process for promising existing deposits under the new law.

Client information

ZEPPELIN GMBH

Zeppelin GmbH (Zeppelin) is one of the leading international groups active in supply and service of mining and construction equipment and power systems solutions. Zeppelin has been a distribution partner of Caterpillar Inc. since 1954 in Germany and in more than ten countries in Europe and Eurasia, including EBRD's COOs, namely Uzbekistan, Ukraine, Armenia, Czech Republic, Slovakia, Turkmenistan and Tajikistan.

EBRD Finance Summary

EUR 25,000,000.00

EUR 10,000,000 (committed) and EUR 15,000,000 (uncommitted).

Total project cost

EUR 25,000,000.00

Additionality

Innovative financing instrument: EBRD offers an innovative green finance instrument that integrates aspects such as climate and environmental, social and governance (ESG) standards and/or climate and ESG risk considerations into the financing structure.

Risk mitigation: EBRD provides comfort to clients and investors, financial or strategic, by mitigating non-financial risks, such as country, regulatory, project, economic cycle, or political risks.

Environmental & Social Summary

Categorised B (2019). The project involves subscribing to an ESG-linked Schuldschein to be issued by Zeppelin to support its supply and servicing of mining equipment (Caterpillar) in Uzbekistan as well as in other countries of operation (COOs). E&S DD was conducted internally and based on available information and discussions with the client. The DD showed that the use of proceeds is not associated with significant risks and impacts and while there may be H&S risks associated with the use of the equipment and plant, Zeppelin and Caterpillar define specific procedures for use. Zeppelin as a business has a robust approach and management system for sustainability matters, is in many countries the company is operating ISO certified and cascades corporate policies and systems down to country subsidiaries. These subsidiaries regularly report to and are audited by Zeppelin. Caterpillar also routinely audits Zeppelin. The Group in a member of Global Compact and is improving its supply chain management system to better respond to the German Supply Chain Act. Further Zeppelin considers risks associated with potential clients and this informs decisions on supply of equipment and plant. Zeppelin maintains appropriate HR procedures, a grievance mechanism and further has in place the Zeppelin trust line which is accessible to the public. The extent of ESDD undertaken for this transaction is appropriate considering the client and use of proceeds. Zeppelin is operating in line with the PRs and appropriately managing risks. An ESAP is not required but PR compliance will be included in a side agreement.

Technical Cooperation and Grant Financing

Technical Assistance to the Government of Uzbekistan to support the arrangment of an auction/tender-based licensing process for promising existing deposits under the new law. The source of funding for the TC to be defined.

Company Contact Information

Rolf Steinemann, Head of Group Treasury
Rolf.Steinemann@zeppelin.com

PSD last updated

01 May 2024

Understanding transition

Further information regarding the EBRD’s approach to measuring transition impact is available here.

Business opportunities

For business opportunities or procurement, contact the client company.

For business opportunities with the EBRD (not related to procurement) contact:

Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

For state-sector projects, visit EBRD Procurement:

Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

Specific enquiries can be made using the EBRD Enquiries form.

Environmental and Social Policy (ESP)

The ESP and its associated Environmental and Social Requirements (ESRs) set out the ways in which the EBRD implements its commitment to promoting “environmentally sound and sustainable development”. The ESP and the ESRs include specific provisions for clients to comply with the applicable requirements of national laws on public information and consultation, and to establish a grievance mechanism to receive and facilitate resolution of stakeholders’ concerns and grievances, in particular, about the environmental and social (E&S) performance of the client and the project. Proportionate to the nature and scale of a project’s environmental and social risks and impacts, the EBRD also requires its clients to disclose information, as appropriate, about the risks and impacts of projects or to undertake meaningful consultation with stakeholders and consider and respond to their feedback.

More information on the EBRD’s practices in this regard is set out in the ESP.

Integrity and compliance

The EBRD's Office of the Chief Compliance Officer (OCCO) promotes good governance and ensures that the highest standards of integrity are applied to all of the Bank's activities in accordance with international best practice. Integrity due diligence is conducted on all Bank clients to ensure that projects do not present unacceptable integrity or reputational risks to the Bank. The EBRD believes that identifying and resolving issues in the project assessment and approval stages is the most effective means of ensuring the integrity of Bank transactions. OCCO plays a key role in these protective efforts andhelps to monitor integrity risks in projects post-investment.

OCCO is further responsible for investigating allegations of fraud, corruption and misconduct in EBRD-financed projects. Anyone, either within or outside the Bank, who suspects fraud or corruption should submit a written report to the Chief Compliance Officer by email to compliance@ebrd.com. OCCO will follow-up all matters reported. It will review all matters reported. Reports can be made in any language of the Bank or of the Bank's countries of operation. The information provided must be made in good faith.

Access to Information Policy (AIP)

The AIP, which entered into force on 1 January 2025, sets out how the EBRD discloses information and consults with its stakeholders to promote better awareness and understanding of its strategies, policies and operations. Please visit the Access to Information Policy page to find out what information is available from the EBRD website.

Specific requests for information can be made using the EBRD enquiries form.

Independent Project Accountability Mechanism (IPAM)

If efforts to address environmental, social or public disclosure concerns with the Client or the Bank are unsuccessful (for example, through the client’s project-level grievance mechanism or through direct engagement with Bank management), individuals and organisations may seek to address their concerns through the EBRD’s Independent Project Accountability Mechanism (IPAM).

IPAM independently reviews project issues that are believed to have caused (or to be likely to cause) harm. The purpose of the mechanism is: to support dialogue between project stakeholders to resolve environmental, social and public disclosure issues; to determine whether the Bank has complied with its Environmental and Social Policy or the project-specific provisions of its Access to Information Policy; and where applicable, to address any existing non-compliance with these policies, while preventing future non-compliance by the Bank.

Please visit the Independent Project Accountability Mechanism webpage to find out more about IPAM and its mandate and how to submit a Request for review. Alternatively, contact IPAM by email at ipam@ebrd.com for guidance and more information on IPAM and how to submit a request.

Environmental and Social Documentation is not available for this project.

Selected procurement notices related to this project may be shown below. Further procurement opportunities related to this and other projects, if available, maybe be viewed in the EBRD Procurement Portal.

The EBRD's Environmental and Social Policy (ESP), Access to Information policy (AIP) and Project Accountability Policy (PAP) enable sound and sustainable development in its projects. The Independent Project Accountability Mechanism (IPAM) deals with complaints about environmental, social and disclosure matters related to the Bank’s investments.

No complaints about this project have been made so far.

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Zeppelin ESG-linked Schuldschein

Overview

Project timeline

Company Contact Information

Project description

Project objectives

Transition impact

Client information

EBRD Finance Summary

Total project cost

Additionality

Environmental & Social Summary

Technical Cooperation and Grant Financing

Company Contact Information

PSD last updated

Understanding transition

Business opportunities

General enquiries

Environmental and Social Policy (ESP)

Integrity and compliance

Access to Information Policy (AIP)

Independent Project Accountability Mechanism (IPAM)