E/Environment
Green Bond
Nidec issued Green Bonds* to raise funds required for businesses that help solve environmental problems such as global warming. Nidec has obtained a Second Party Opinion for the criteria set forth by the International Capital Markets Association (ICMA) in its "Green Bond Principles 2018 (GBP) and Japan's Green Bond Guidelines 2017 from a third-party verification provider.
The world is increasingly going electric to reduce its dependence on coal and other fossil fuels --- non-renewable energy sources deemed responsible for more than three quarters of climate change-inducing greenhouse gas emissions. In the meantime, according to the International Energy Agency, approximately 38% of global electricity still comes from coal-fired power plants. Looking at the demand side, electric motors are estimated to account for half the electricity consumed worldwide. These facts indicate that collective improvements in motion-control efficiency play a key role in the advancement low-carbon social infrastructure, including road transportation. Acting at the global forefront of motor drive technology and manufacturing, Nidec is committed to doing its part to help curb global warming by serving as a critical gateway to a decarbonized world.
NIDEC Green Bonds
1. Details
| Name of the Bonds | NIDEC Green Bond | ||
| Series | 9th Series | 10th Series | 11th Series |
| Offering Period | 22 November 2019 | ||
| Payment Date | 28 November 2019 | ||
| Issuance Period | 3 years | 5 years | 7 years |
| Total Principal Amount | JPY 50 billon | JPY 30 billon | JPY 20 billon |
| Interest rate | 0.020% per annum | 0.090% per annum | 0.150% per annum |
| Use of Proceeds | Capital expenditure and R&D expense for the production of traction motors for EVs | ||
| Rating | AA- Rating and Investment Information, Inc. | ||
| Eligibility of the Green Bond Framework |
The company has obtained the Second Party Opinion for the criteria set forth by the International Capital Markets Association (ICMA) in its "Green Bond Principles 2018 (GBP) and Japan's Green Bond Guidelines 2017 from Sustainalytics, a leading international third-party verification provider. |
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*Green Bond: Bonds issued to raise funds required for businesses that help solve environmental problems such as global warming.
2. Independent Review
Second Party Opinion Obtained from Sustainalytics
3. List of Investors
The following investors have agreed to participate in NIDEC Green Bonds.
（As of November 28, 2019）
- AXA INVESTMENT MANAGERS JAPAN LTD.
- THE SHIGA BANK，LTD．
- The 77 Bank, Ltd.
- The Joyo Bank,Ltd.
- Seven Bank, Ltd.
- Imperial Hotel, Ltd.
- Development Bank of Japan Inc.
- HIGASHI-NIPPON BANK Ltd.
- MUFG Bank, Ltd.
- The Kyoto Chuo Shinkin Bank
- The Congregation of St.Joseph
- SUMITOMO LIFE INSURANCE COMPANY
- TAIYO LIFE INSURANCE COMPANY
- Daitokyo shinkumi credit corporative
- NIHON DENGI CO.,LTD.
- Promotion and Mutual Aid Corporation for Private Schools of Japan
- MAX CO.,LTD.
- Yokohama Port Corporation
4. Framework
Nidec Corporation Green Bond Framework（PDF：425KB）5. Reporting
Nidec Corporation Green Bond Reporting（PDF：35KB）Annual Review Obtained from Sustainalytics（PDF：152KB）
For more information, please refer to the following press release.
November 11, 2019 Nidec to Issue Green Bonds in Japan（PDF：100KB）
November 22, 2019 Nidec Determines Terms and Conditions of Green Bonds（PDF：91KB）
