Mars Incorporated has completed a $2.5 billion bond offering as part of its efforts to tackle global environmental issues.
The bond offering consists of a new $500 million sustainability bond that will fund projects for its ‘Sustainable in a Generation Plan’ (SiGP)
The company will use the net proceeds from the offering to finance or refinance, in whole or in part, eligible projects to address environmental and social issues in line with its Sustainability Financing Framework.
SiGP is built on three pillars underlying the company’s sustainability strategy, which include GHG reduction, improving the lives of 1 million people across its value chain, and providing good nutrition, health and wellbeing.
Eligible projects include those that fall under the key areas of its sustainability strategy, including renewable energy, energy efficiency, sustainable water and wastewater management, pollution prevention and control, green buildings, and more.
These projects will support Mars in its goal to achieve net zero emissions by 2050 and address other environmental and social issues.
Claus Aagaard, chief financial officer at Mars, commented: “The situation facing our planet is urgent. That means that now more than ever, businesses must stand for more than just maximising profit and take real action to avoid the worst impacts of climate change and to protect the future for coming generations.”
He added: “Finance is at the heart of this pursuit: we cannot uncouple sustainability from financial performance, rather the two are mutually reinforcing. We are proud to have today completed this bond offering, which will help us to meet our science-based targets set as part of our Sustainable in a Generation Plan and help finance other projects that contribute to a more sustainable future.”
Mars has reduced its GHG emissions by 8% since it made its net zero commitment in 2021. In addition to its bond offering, Mars is investing $2.7 billion across SiGP.
Last year, PepsiCo announced the closing of a new $1.25 billion ten-year green bond to fund green projects that focus on two pillars of its pep+ (PepsiCoPositive) agenda: ‘positive agriculture’ and ‘positive value chain’.
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