Private equity firm EQT has taken out the largest ever fund-level credit line that is linked to responsible investment metrics.

The borrowing facility, which is currently at €2.3bn and has an upper limit of €5bn, is backed by a syndicate of lenders including BNP Paribas and SEB. The financing terms of the loan, also called a bridge facility – typically used to provide liquidity at fund level without having the call capital from investors – will be impacted by the progress of portfolio companies in meeting environmental, social and governance criteria.