Packaging company, Smurfit Kappa recently issued a report which provides details on the allocation of proceeds from its green bond tranche worth nearly £900 million.
Finance from the bond, which was issued in September 2021, has been used within circular projects, such as consumer waste recycling projects.
The projects the funds have been used include circular economy or eco-efficient products; examples include products which use 100% fibres from certified FSC PEFC or SFI sustainable sources, products which have seen a 4% reduction in waste sent to landfill.
Further forestry focused supported by the funds have also helped reduce 9.34 million tonnes of CO2 stored in forestry assets, with 100% of wood used in production acquired from certified sustainably managed forests.
As well as short-term targets Smurfit Kappa has submitted its long-term goal to become net zero by 2040 across all scopes.
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Smurfit Kappa group treasurer Emer Murnane said: “This report highlights our ongoing commitment to the integration of our corporate sustainability strategy into our capital structure and our continuous investment in circularity which is at the heart of our business”.
She continued: “Through our green finance instruments, we aim to give debt investors the opportunity to invest in truly sustainable business practices, reporting transparently on our ambitious sustainability targets and the progress we’re making towards achieving them”.
Smurfit Kappa chief sustainability officer Garrett Quinn added: “The report provides insight into our strategic approach to creating a sustainable future through responsible investment practices.”
“It highlights examples of environmental and social investment projects and initiatives that have led to tangible positive impact”
“Through green bonds and sustainable finance, we are investing in a greener, bluer planet whilst creating economic value”.
The use of green bonds has grown heavily in recent years, with banks including JP Morgan have been issuing sustainable finance loans and bonds at record rates.
