Certification

The Climate Bonds Standard and Certification Scheme is a labelling scheme for bonds, loans & other debt instruments. Rigorous scientific criteria ensure that it is consistent with the goals of the Paris Climate Agreement to limit warming to under 2 degrees. The Scheme is used globally by bond issuers, governments, investors and the financial markets to prioritise investments which genuinely contribute to addressing climate change.

 

Meidensha Corporation

Meidensha claims its heritage back to 1897 when it began manufacturing electrical components. In recent years, it has invested into developing motors for electric vehicles. For example, in 2009, it became the supplier of motors for the Mitsubishi i-MiEV, which was the first mass produced electric vehicle on the market. Since 2013, it has supplied the motors for the Mitsubishi Outlander plug-in hybrid electric car.

It is involved in other industries related to the low carbon agenda, such as components in solar energy generation, electrical grid transmission, and power supply systems in electric train networks.

Meidensha has signed up to the Science Based Targets Initiative (SBTI) and introduced a GHG reduction target for itself and its supply chain. As an indicator of size, in FY 2017, as a group, they had sales of JPY 242 billion (USD 2.2 billion).

This is the first Certified Climate Bond linked to the manufacture of motors for electric and hybrid vehicles. The proceeds will be used to finance and refinance the expansion of existing and the construction of new facilities at manufacturing sites across Japan. These facilities will be solely and wholly for the purpose of manufacturing motors and related car parts of electric and hybrid electric vehicles.

These factories are due to be completed and operational later in 2019. There will also be investments into rooftop solar panels on the factory buildings.

 

DATE OF ISSUE

TYPE OF INSTRUMENT

SIZE

TENOR

COUNTRY OF ISSUE

CLIMATE BONDS SECTOR CRITERIA

VERIFIER'S REPORT

ANNUAL REPORT FURTHER INFORMATION
July 2019 Use of Proceeds 6 billion JPY (USD 55.5 million) 5 years Japan

Low Carbon Transport

Solar

Pre Issuance Verification by DNV GL

post issuance verification

  Meidensha Press Release 17 July 2019