Icelandic fishing company Brim has issued bonds as part of a strategy to finance projects promoting sustainability and with a positive environmental impact. The bonds are the first of their kind to be issued by Brim and also the first in Iceland to fall under the blue and green financing framework.
The bonds are non-indexed and have a final maturity date of 22nd October 2026, carrying a 4.67% interest, paid quarterly. The total size of the bond series has a total nominal ISK 5000 million value, and bonds nominally worth ISK 2,500 million have been issued.
With a sustainable financing framework, bond buyers can expect their investments to go to projects that promote sustainability and have a positive impact on the environment. Thus, investments are made in projects that, for example, reduce greenhouse gas emissions, reduce pollution and promote more environmentally friendly modes of transport. In the fisheries sector, there is the electrification of ports, energy switching, sewerage and other issues that contribute to the health of the sea and the environment.
‘Climate issues are one of the main challenges of our time, and we all need to respond,’ said Brim CEO Guðmundur Kristjánsson.
‘The key to success is a large increase in investment in innovation and development of projects in the field of environment and climate change. That is why it is important to mobilise the financial market for co-operation with us and to establish a professional procedure that ensures that sustainability is a guiding principle in the assessment of our investments.’
Among the projects covered by Brim’s funding framework are the company’s waste sorting stations, where everything generated in operations at sea and on land is sorted, the development of an environmental database with the aim of having an overview of emissions and where they occur in the operations, and renewal of equipment that increases the utilisation of raw materials and reduces environmental impact.