Pirelli signs 600-million-euro credit line

Pirelli has secured a new term loan line of credit totalling 600 million euros, scheduled to mature in October 2028. This agreement, made with a select group of international banks, falls within the company’s routine efforts to manage and optimise its financial structure.

The primary purpose of this new credit line is to enable Pirelli to repay a portion of its debt due in 2025 ahead of schedule. By doing so, the company aims to strengthen its liquidity reserves and extend the maturity dates of its debts.

This credit line is tied to the “new and more challenging” sustainability targets that Pirelli outlined in the 2024-25 Industrial Plan Update, which it unveiled on 6 March. These targets, submitted to the Science Based Target initiative (SBTi), include ambitious reductions in greenhouse gas emissions across various scopes.

Pirelli aims to cut Scope 1 and Scope 2 emissions by 60 per cent by 2025 and 80 per cent by 2030 compared to 2018 levels, while also targeting a 27 per cent reduction in Scope 3 emissions by 2025 and 30 per cent by 2030. The new sustainability targets make Pirelli the first tyre sector company to set itself the target of achieving Net Zero in 2040.