Sustainable Finance
Sustainable Finance Framework
The Kirin Group executes Kirin Sustainable Finance based on the “Kirin Sustainable Finance Framework” to raise funds to promote CSV management. The funds are used to address social issues in "Responsibility of Kirin Group Which Runs Alcoholic Beverage Businesses," "Health and Well-Being," "Community Engagement," and "The Environment" based on the CSV Purpose, and by communicating the status of their use, we aim to further promote the Kirin Group CSV management and solve social issues.
In executing Kirin Sustainable Finance, we have developed this Framework based on the following principles and guidelines*, and have obtained a second party opinion from DNV BUSINESS ASSURANCE JAPAN K.K. ("DNV"), an independent external reviewer for its conformity.
- Please refer to the individual finance sections below for the frameworks and second-party opinions specific to each type of sustainable finance.
- Principles/Guidelines
- ICMA Green Bond Principles 2021
- ICMA Social Bond Principles 2021
- ICMA Sustainability Bond Guidelines 2021
- ICMA Sustainability-Linked Bond Principles 2020
- ICMA Climate Transition Finance Handbook 2020
- Ministry of the Environment, Green Bond and Sustainability-Linked Bond Guidelines 2022
- Ministry of the Environment, Green Loan and Sustainability-Linked Loan Guidelines 2022
- Financial Services Agency; Ministry of Economy, Trade and Industry; and Ministry of the Environment, Japan Basic Guidelines on Climate Transition Finance May 2021
- Financial Services Agency, Social Bond Guideline October 2021
- LMA; APLMA; LSTA, Green Loan Principles 2021
- LMA; APLMA; LSTA, Social Loan Principles 2021
- LMA; APLMA; LSTA, Sustainability-Linked Loan Principles 2022
Social Finance Framework
Kirin positions fundraising through social finance as a means to achieve sustainable growth together with society. We believe this is an opportunity to communicate to our stakeholders about our CSV management efforts, which simultaneously create social and economic value. We have formulated a social finance framework that designates acquisitions aimed at solving social issues of Health Science business as eligible projects, to help our stakeholders understand our commitment to our growth strategy and key areas.
In executing Kirin Social Finance, we have developed this Framework based on the following principles and guidelines*, and have obtained a second party opinion from DNV BUSINESS ASSURANCE JAPAN K.K. ("DNV"), an independent external reviewer for its conformity.
- Please refer to the individual finance sections below for the frameworks and second-party opinions specific to each type of social finance.
- Principles/Guidelines
- ICMA Social Bond Principles 2023
- Financial Services Agency, Social Bond Guideline October 2021
- LMA; APLMA; LSTA, Social Loan Principles 2023
Funding Record
The annual reporting for each funding will be published around June/July of the following fiscal year.
Green Bonds
| Official Name | Funding Date/Month | Funding Amount | Term | Use of Proceed | Framework | Reporting |
|---|---|---|---|---|---|---|
| Kirin Holdings Company, Limited 18th unsecured straight bonds (Green Bonds) | November 27, 2020 | JPY 10.0 billions | 5-years | Procurement of recycled PET plastic and installation of heat pump systems in plans | Please refer to the top of this page for the latest "Kirin Sustainable Finance Framework (FW)" and "Second Party Opinion (SPO)" ＜Original Version(Year 2020)＞ SPO |
＜Allocation/Impact Reporting＞ FY2020 FY2021 FY2022 FY2023 ＜Annual Review＞ FY2020 FY2021 FY2022 FY2023 |
Social Bonds
| Official Name | Funding Date/Month | Funding Amount | Term | Use of Proceed | Framework | Reporting |
|---|---|---|---|---|---|---|
| Kirin Holdings Company, Limited 21st unsecured straight bonds (Social Bonds) | June 7, 2022 | JPY 20.0 billions | 5-years |
Following the Kyowa Hakko Bio to transfer part of its business announced on November 22, 2024, the allocation of funds on the issuance of the social bond for ”1. Capital investment, operation, and procurement of raw materials contributing to the production of Human Milk Oligosaccharide (HMO)” has been changed. |
Please refer to the top of this page for the latest "Kirin Sustainable Finance Framework (FW)" and "Second Party Opinion (SPO)" ＜Original Version(Year 2022)＞ FW SPO |
＜Allocation/Impact Reporting＞ FY2022 FY2023 ＜Annual Review＞ FY2022 |
| Kirin Holdings Company, Limited 22nd, 23rd unsecured straight bonds (Social bonds) | October 26, 2023 | JPY 60.0 billions | 5-years and 7-years |
Acquisition of shares in Blackmores Limited | Please refer to the top of this page for the latest "Kirin Social Finance Framework (FW)" and "Second Party Opinion (SPO)" ＜Original Version(Year 2023)＞ FW SPO |
＜Allocation/Impact Reporting＞ FY2023 ＜Annual Review＞ FY2023 |
| Kirin Holdings Company, Limited 25th, 26th, 27th unsecured straight bonds (Social bonds) | May 29, 2025 | JPY 65.0 billions | 3-years, 5-years and 7-years | Acquisition of shares in FANCL CORPORATION | Please refer to the top of this page for the latest "Kirin Social Finance Framework (FW)" and "Second Party Opinion (SPO)" | The first reporting date will be around July, 2026. |
Transition-Linked Loans
| Official Name | Funding Date/Month | Funding Amount | Term | KPI/SPT | Reporting | |
|---|---|---|---|---|---|---|
| KPIs Performance | SPTs Acheivement Target | |||||
| Transition-Linked Loan (January 2023) | January 2023 | JPY 50.0 billions | 10-years |
50% reduction in GHG emissions in FY2030 (Base year: FY2019)
Loan characteristics: An interest subsidy of up to 0.2% will be granted by the government if the SPT is achieved. |
FY2023 GHG emission reduction rate (Scope 1+2, compared to 2019)ー31％
|
FY2023ーAchieved（falls below 18%, the target reduction rate of 2023） |
| Transition-Linked Loan (July 2023) | July 2023 | JPY 67.0 billions | 5-years and 7-years |
GHG emission reduction rate in Scope 1 and Scope 2 (Base year: FY 2019)
|
The next assessment year will be for the period 2025. | |
- Please refer to the "Kirin Group Environmental Report 2024" for information on our company's sustainability strategy related to KPIs and SPTs.
- Please refer to "ESG Data Book" for third-party assurance on GHG reduction achievements.