Co-op said that the loans – supplied by HSBC UK, Barclays, ING, Lloyds, NatWest and Rabobank – reflected the “strong market confidence” in the group’s continued resilience and performance.
The announcement followed the publication of Co-op’s annual results in April, in which the group reported a 35% increase in underlying operating profit and a return to pre-tax profit for the first time since 2020.
The group’s credit rating was upgraded by Standard & Poor’s in late 2024, while it also successfully renewed and extended its backstop undrawn revolving credit facility by five years.
Rachel Izzard, chief financial officer at Co-op, welcomed the news and described it as a display of trust in the group.
“This funding arrangement is a powerful endorsement of strength – the renewed financial strength of our Co-op, the strength of our mutual model and the strength of the shared voice of our members,” Izzard said.
“I’m proud to be building on our existing strong relationships with our banking partners, as well as partnering with new lenders, such as HSBC UK and a fellow co-operative in Rabobank for the first time.
“By weaving our social value commitments into our funding strategies, we’re able to invest in our Co-op while holding ourselves accountable to our members and their priorities. A heartfelt thank you to all our partner banks for making this possible.”
Co-op also noted that the banking facilities are linked to a goal to have 79% of suppliers adhering to the Science Based Targets initiative, part of the group’s wider aim to reach net zero by 2030.
In related news, group CEO Shirine Khoury-Haq announced earlier this month that the Co-op was close to a full recovery from the cyberattack which took place during late April.
Khoury-Haq added that the remaining recovery work would be conducted behind the scenes, with no further announcements scheduled.
