- Don-Alvin Adegeest |
Burberry has announced plans to issue a sustainability bond to fund social and environmental improvements. It is the first luxury brand to do so in a bid to attract ethical investors.
Proceeds from the fund will be used to finance eligible projects listed under Burberry’s new Sustainability Bond Framework and will focus on three specific areas. The company said it has a longstanding commitment to sustainability and is dedicated to using its position and influence to drive social and environmental improvements.
The first area of intent is to produce green buildings and expenditure relating to properties certified to either LEED platinum or gold or BREAM outstanding or excellent.
In a press release Burberry said its new bond will be issued pursuant to the company’s Sustainability Bond Framework, which has received a ‘second party opinion’ from Sustainalytics.
The bond will be offered to professional investors and eligible counterparties, Burberry said in a statement. Applications will be made for the admission of the bond to be listed on the Official List of the UK Listing Authority and to be traded on the Main Market of the London Stock Exchange.
The bond will be guaranteed by the Burberry group which also guarantees its 300 million pound revolving credit facility.
Burberry is listed on the London Stock Exchange (BRBY.L) and is a constituent of the FTSE 100 index. Its ADR symbol is OTC:BURBY.
Image courtesy Burberry