ANZ has announced its participation in an $800 million social loan for Opal HealthCare, marking a significant development in Australia's aged care sector. This initiative is the first of its kind within the industry and aims to provide capital for both existing residential aged care services and the creation of new care communities. The areas targeted for development include Carlingford in New South Wales, Clayfield in Queensland, and Croydon in Victoria.
ANZ took on the role of Sole Sustainability Coordinator and was also the largest lender involved in this transaction. Social loans are designed to support economic activities that address social issues or achieve positive outcomes for vulnerable groups. In addition to aged care, sectors such as disability services, unemployment services, and public hospitals may also consider utilizing social loans.
Emily Tonkin, ANZ Executive Director of Sustainable Finance, expressed satisfaction with the collaboration: “We are pleased to work alongside Opal HealthCare for the ultimate benefit of ageing Australians through the emerging social loan market." She highlighted sustainable finance as an effective tool for businesses aiming to meet environmental and social goals. "This is the first time a social loan has been executed in the aged care sector in Australia," she added.
Rachel Argaman, CEO of Opal HealthCare, shared her enthusiasm about entering into this agreement: “We are delighted to enter into this social loan which will enable Opal HealthCare to continue to provide much needed, high quality residential aged care services.” She emphasized that it would offer greater choice and opportunities for those needing care as they age.
The collaboration between ANZ and Opal HealthCare represents a pioneering step towards addressing Australia's growing demand for aged care facilities while supporting broader societal objectives.