MOL Signs Positive Impact Finance Loan Deal with Mizuho Bank- Addressing Sustainability Issues by Expanding Fundraising Base
Mitsui O.S.K. Lines, Ltd. announced the conclusion of its first commitment line agreement (Note 1) through “Positive Impact Finance” (Note 2) with Mizuho Bank, Ltd. (Mizuho Bank; President and CEO: Masahiko Kato; Headquarters: Chiyoda-ku, Tokyo).
“Positive Impact Finance” is a type of ESG financing based on the Positive Impact Financing Principles (Note 3). Under the “Mizuho Positive Impact Finance” that MOL has signed with Mizuho Bank, company’s social impact (both positive and negative) is comprehensively and quantitatively assessed by using an impact assessment framework originally developed by Mizuho Research & Technologies, Ltd. If the assessment is identified as “intended to create a positive impact,” the loan will be provided for ongoing support of the initiatives.
The MOL Group identifies five “sustainability issues” as social issues to be prioritized through its businesses, and established a specific action plan to address these issues, the MOL Sustainability Plan (MSP), as part of the management plan “BLUE ACTION 2035.”
The loan affects the achievement of the sustainable development goals (SDGs) from Mizuho Bank, with key performance indicators (KPIs) for each of the following themes based on MOL’s sustainability issues. MOL was deemed eligible for the loan and the contract was concluded.
The progress and results of these initiatives will be disclosed in the Integrated Report and other media issued by MOL. In concluding the Loan, MOL obtained a third-party opinion from Japan Credit Rating Agency, Ltd., about conformity with Principles for Positive Impact Finance for the assessment and consistency with the “Basic Concept of Impact Finance” compiled by the Positive Impact Finance Task Force, which was established based on Paragraph 2 (4) of the Outline for Establishing the High-Level Panel on ESG Finance set up by Japan’s Ministry of the Environment.
MOL Group 5 Sustainability Issues
MOL Group will contribute to realizing a sustainable society by promoting responses to sustainability issues, which are identified as social issues that must be addressed as priorities through its business.
Source: Mitsui O.S.K. Lines