Faroese salmon farming, processing and feed company Bakkafrost inked a deal for a five-year revolving credit facility of €700 million ($790 million).

The credit facility's flexible margin will be linked to Bakkafrost's performance against certain sustainability key performance indicators based on its environmental, social and corporate governance (ESG) targets.

Bakkafrost will use the funds to push forward the group's investment plans, including acquisitions, organic growth and structural cost reductions in Scotland.

The company can increase the facility by up to €150 million ($170 million) during the life of the loan. The agreement is expected to be finalized during the first quarter of 2022.

Cooperatieve Rabobank, DNB Bank and Nordea Bank have agreed to continue as lenders.

A handful of seafood companies have issued green or sustainable-linked bonds during the last year, including global seafood processing Thai Union and Norwegian salmon companies Grieg Seafood, Mowi and Leroy Seafood Group.