FOR IMMEDIATE RELEASE No. 3644
TOKYO, November 10, 2023 - Mitsubishi Electric Corporation (TOKYO: 6503) announced today that it will issue green bonds for the first time to raise funds for the construction of a silicon carbide (SiC) power semiconductor plant and the enhancement of related production facilities1 that handle products capable of contributing to decarbonization.
Green bonds are any type of debt instrument issued by a corporation or municipality for the exclusive purpose of financing or refinancing green projects domestically or internationally.
In preparation for the issuance, Mitsubishi Electric has formulated a Green Bond Framework2 that specifies its policies regarding the use of proceeds, the process for project evaluation and selection, the management of proceeds, and reporting, as defined in the Green Bond Principles 2021 issued by the International Capital Market Association (ICMA) and the Green Bond Guidelines 2022 issued by Japan's Ministry of the Environment. The company's Green Bond Framework has been evaluated by an independent third party, Rating and Investment Information, Inc.3 (R&I), and confirmed to be in compliance with the aforementioned principles and guidelines.
Mitsubishi Electric has also submitted an amended shelf registration statement for the issuance of the bonds to the Director-General of the Kanto Local Finance Bureau.
Mitsubishi Electric has positioned sustainability as a cornerstone of its overall business, including initiatives to address climate change and other pressing issues facing modern society. This commitment to sustainability is reflected in the company's Environmental Sustainability Vision 20504 and Environmental Declaration to "protect the air, land, and water with our hearts and technologies to sustain a better future for all." Mitsubishi Electric has set a goal to aim for net zero greenhouse gas emissions from factories and offices by FY2031 and net-zero greenhouse gas emissions in its entire value chain by FY2051, and is working to creating and expanding businesses that contribute to carbon neutrality. Going forward, Mitsubishi Electric expects to accelerate efforts to contribute to the achievement of sustainable development goals (SDGs) in society for greater sustainability.
Note that the press releases are accurate at the time of publication but may be subject to change without notice.