28th May 2021 – Arçelik A.Ş. (IST: ARCLK) (“Arçelik”), the global leading consumer durables and electronics manufacturer, announced the issuance of its Green Bond, the first of its kind in the international markets from a Turkish industrial Company.

Arçelik mandated J.P. Morgan Securities plc, Merrill Lynch International and MUFG Securities EMEA plc to arrange the offering of the notes that listed on the Euronext Dublin Stock Exchange. The Green Bond is issued on 27 May 2021, and has a nominal value of 350 million Euros, with a five year maturity, and a redemption date of 27 May 2026. The bonds were priced at 3% with a coupon rate of 3%.

Arçelik aims to use the bond to finance its Eligible Green Projects, including its energy-efficient, eco-efficient and circular economy adapted products and the promotion of energy efficiency in production. In addition, the proceeds will fund the company’s sustainable water and wastewater management, pollution prevention control, renewable energy, and green buildings initiatives.

Speaking about the issuance of the Green Bond, Polat Şen, CFO, Arçelik said: “We are thrilled to announce the issuance of our corporate Green Bond. The bond will help reinforce Arçelik’s ESG credentials and enable us to put sustainability at the centre of our business, to ensure that we are continually aligned with our vision, Respecting the World, Respected Worldwide. The success of green bond issuance illustrates the investors’ confidence in Arcelik’s ability to implement ESG projects. The bond will support us to diversify our funding options with a rapidly growing finance mechanism, allowing Arçelik to access a broader base of long-term and green investors. This bond emphasizes our commitment to sustainability and helps us continue to lead our industry in our sustainability initiatives.”