NIB and Kesko Sign €150 Million Sustainability-Linked Loan to Cut Emissions and Food Waste

NIB and Kesko Sign €150 Million Sustainability-Linked Loan to Cut Emissions and Food Waste

(IN BRIEF) NIB and Kesko have signed a €150 million, 7-year sustainability-linked loan aimed at reducing Kesko’s greenhouse gas emissions and food waste. The loan’s interest rate is tied to Kesko’s progress on three key performance indicators: a 90% reduction in Scope 1 and 2 emissions by 2030, increasing suppliers with SBTi-approved targets, and cutting food waste by 50% by 2030. This partnership supports Kesko’s sustainability strategy across its value chain, aligning with its efforts to promote greener practices in its operations.

(PRESS RELEASE) HELSINKI, 14-Sep-2024 — /EuropaWire/ — The Nordic Investment Bank (NIB) has signed a EUR 150 million, 7-year sustainability-linked loan with Finnish retailer Kesko Oyj. The loan is tied to Kesko’s ambitious sustainability goals, including reducing greenhouse gas emissions and food waste as part of its broader sustainability strategy.

The interest rate margin on the loan is linked to three key performance indicators (KPIs). These include reducing Kesko’s Scope 1 and 2 emissions by 90% by 2030, increasing the number of suppliers with Science Based Targets Initiative (SBTi) commitments, and cutting food waste by 50% by 2030. The agreement reflects Kesko’s dedication to promoting sustainable practices across its value chain, from production to retail.

NIB’s President and CEO, André Küüsvek, expressed support for Kesko’s sustainability efforts, noting the trading sector’s significant role in environmental impact. Kesko CFO Anu Hämäläinen emphasized the company’s focus on enabling sustainable choices for customers and driving change across its operations.

Kesko operates in the grocery, building, and car trades, employing around 18,000 people across 1,800 stores in Northern Europe. This sustainability-linked loan aligns with the company’s goal of minimizing its environmental footprint while enhancing value chain sustainability.

Media Contacts:

Seppo Halttunen
Senior Client Executive
+358 40 702 8810
seppo.halttunen@nib.int

Lotta Forssell
Senior Communications Officer
+358 10 618 0498
lotta.forssell@nib.int

SOURCE: Nordic Investment Bank