NYK issues first transition bonds in Japan

NYK has released the items and conditions for the issuance of its 43rd and 44th unsecured corporate bonds (transition bonds) within the Japanese domestic market, becoming Japan’s first company to issue such bonds.

A transition bond is one in which the proceeds are used for the purpose of funding projects that contribute to the company's long-term transition strategy to reduce greenhouse gas emissions. By issuing transition bonds to secure various funding resources for low carbon, decarbonization solutions, NYK will accelerate its greenhouse gas emission reduction.

This issuance has been selected as the first model case for transition finance by Japan’s Ministry of Economy, Trade and Industry.

NYK issued the first green bonds in the global shipping business sector in 2018, followed by participation in green loans and sustainability linked loans. Through environmentally efficient investment supported by ESG financing, NYK will demonstrate the company’s growth strategies based on ESG initiatives to wide range of stakeholders.

On February 3, NYK released the NYK Group ESG Story, which aims to further integrate ESG into the company’s management strategy and promotes activities that contribute to the achievement of the SDGs (Sustainable Development Goals) through business activities. The NYK Group will encourage new value creation as a sustainable solution provider through a business strategy by strongly promoting ESG financing.