Wednesday 14 September 2022

Food service giant Compass Group issues first sustainable bonds

Compass Group, the world's largest food services group, has issued its first sustainable bonds to support the delivery of its net zero ambitions.

The bonds raised £433 million and £250 million and will be used in line with the group's new Sustainable Financing Framework on projects that will enhance responsible sourcing, products purchased from local and diverse suppliers and other sustainable expenditure that supports decarbonisation.

Eligible projects include food waste reduction projects, non food waste reduction projects such as tackling plastic waste and the promotion of reusable items and investment in healthy eating initiatives.

In addition, it will support spending in fleet electrification, renewable energy use, promotion of plant-based products and investment in regenerative food production.

Palmer Brown, Group Chief Financial Officer of Compass Group said: “As a Group, we recognise the importance of acting on climate change and are committed to delivering a sustainable future for all. Our new Sustainable Bonds and Sustainable Financing Framework not only reflect our objective to be a socially and environmentally responsible organisation for our clients, employees, suppliers and wider society; they also support our long term climate net zero ambitions.

“We intend for the proceeds of the Sustainable Bonds to initially support the increased purchase and tracking of Fairtrade and sustainable goods within our supply chain, reducing our Scope 3 emissions footprint, while funding diverse and minority suppliers.”e