Adidas successfully places first sustainability bond

Adidas has successfully placed its first sustainability bond as it continues to execute its long-term sustainability roadmap while further optimising its capital structure and financing costs. The €500 million bond has a term of 8 years and a coupon of 0.00 per cent. It will be listed on Luxembourg Stock Exchange and has denominations of €100,000 each. 

 

Adidas has successfully placed its first sustainability bond as it continues to execute its long-term sustainability roadmap while further optimising its capital structure and financing costs. The €500 million bond has a term of 8 years and a coupon of 0.00 per cent. It will be listed on Luxembourg Stock Exchange and has denominations of €100,000 each. #

"Following the first-time bond placements as an investment-grade-rated issuer earlier this month, the successful sustainability bond offering marks another milestone for our company," said Adidas CFO Harm Ohlmeyer. "The proceeds will help fund environmental as well as social initiatives at Adidas as we are committed to keep building on our industry leadership in the area of sustainability." 

 

Adidas has successfully placed its first sustainability bond as it continues to execute its long-term sustainability roadmap while further optimising its capital structure and financing costs. The €500 million bond has a term of 8 years and a coupon of 0.00 per cent. It will be listed on Luxembourg Stock Exchange and has denominations of €100,000 each. #

Proceeds from the offering will be used in accordance with Adidas' newly created sustainability bond framework. The framework has been validated by a second-party opinion from Sustainalytics, a leading independent provider of sustainability ratings, who confirmed that the framework is credible, impactful and aligned with established sustainability principles. Eligible sustainable projects cover investments into more sustainable materials and processes as well as projects that positively impact communities. More specifically, this includes purchases of recycled materials for sustainably sourced products, investments into renewable energy production and energy-efficient buildings as well as various initiatives to create lasting change for underrepresented communities. The full sustainability bond framework is available on Adidas's website, where the company will also publish regular updates on the allocation of proceeds. 

 

Adidas has successfully placed its first sustainability bond as it continues to execute its long-term sustainability roadmap while further optimising its capital structure and financing costs. The €500 million bond has a term of 8 years and a coupon of 0.00 per cent. It will be listed on Luxembourg Stock Exchange and has denominations of €100,000 each. #

Adidas has taken important steps toward optimising its capital structure and financing costs in the recent past. In early August, the company received strong first-time investment-grade ratings by both S&P and Moody's. While Standard & Poor's rated Adidas 'A+', Moody's granted the company an 'A2' rating. The outlook for both ratings is 'stable'. In the beginning of September, Adidas successfully placed two bonds in an amount of €1 billion in total. The bonds of €500 million each have maturities of four and 15 years and coupons of 0.00 per cent and 0.625 per cent, respectively. 

 

Adidas has successfully placed its first sustainability bond as it continues to execute its long-term sustainability roadmap while further optimising its capital structure and financing costs. The €500 million bond has a term of 8 years and a coupon of 0.00 per cent. It will be listed on Luxembourg Stock Exchange and has denominations of €100,000 each. #

In context of today's sustainability bond issuance, the syndicated revolving loan facility under participation of KfW will be further reduced by €500 million to €2.1 billion. The company had 2 secured the facility earlier this year to bridge the unprecedented situation caused by the global coronavirus pandemic.

 

Adidas has successfully placed its first sustainability bond as it continues to execute its long-term sustainability roadmap while further optimising its capital structure and financing costs. The €500 million bond has a term of 8 years and a coupon of 0.00 per cent. It will be listed on Luxembourg Stock Exchange and has denominations of €100,000 each. #

JP Morgan acted as Sole Sustainability Structuring Agent and Global Coordinator, and, together with BNP Paribas and Commerzbank, as Joint Active Bookrunners for the offering. 

 

Adidas has successfully placed its first sustainability bond as it continues to execute its long-term sustainability roadmap while further optimising its capital structure and financing costs. The €500 million bond has a term of 8 years and a coupon of 0.00 per cent. It will be listed on Luxembourg Stock Exchange and has denominations of €100,000 each. #