Ahold Delhaize Invests in Sustainability and Healthier Eating
ZAANDAM, THE NETHERLANDS - Sustainability has maintained its grasp on the industry’s attention. Industry leaders and go-getters are continuously investing in this area—one of which is Ahold Delhaize. The grocer recently announced that the full proceeds of the company’s first Sustainability Bond have been used to support the increased consumption of sustainably sourced products, further reduce the company’s climate impact, and increase the sales of healthier products.
“Through this first experience in connecting our health and sustainability ambitions with company financing, we learned there are many investors who are both eager to support the transition to a more sustainable food future and share with us their learnings,” said Miguel Silva Gonzalez, Senior Vice President and Treasurer of Ahold Delhaize. “Those learnings informed our recent sustainability actions, and we’re very optimistic about future potential for sustainability-linked financing.”
Ahold Delhaize raised €600 million (about $673.8 million USD) in June last year through the issuance of a Sustainability Bond maturing on June 26, 2025, in line with its Sustainability Bond Framework. According to a press release, this transaction made Ahold Delhaize one of the first retailers to issue a euro-denominated Sustainability Bond, highlighting the company’s commitment to accelerate the transition to sustainable food systems.
Significant investments were made in the nutritional navigation systems that provide customers transparency on product nutritional value. The largest portion of the proceeds, €432 million ($485.1 million USD) was used to further expand sourcing of sustainable seafood, coffee, tea, and cocoa. In addition, some of the proceeds were allocated to the production cost of the ‘Urban Farm’ on the roof of a Delhaize Belgium store. Furthermore, €161 million ($180.8 million USD) was invested in renewable energy installations, energy-efficient equipment, refrigeration improvements, and green buildings.
The remainder of the proceeds were used to implement and expand healthier eating initiatives while maintaining affordability, including R&D for reformulated products and the marketing and distribution of healthier products.
For more information, click here for the full press release.
As the industry moves toward a more sustainable future, ANUK will report on the latest.
