Green Bond
Green Bond Issue
On August 10th 2023, the OSG Group became the world's first cutting tool manufacturer to issue green bonds. The funds procured are slated to be allocated to green buildings, R&D funds for eco-friendly products, and other such uses. We will strive to maximize corporate value generated by linking our growth strategy and ESG initiatives toward realization of OSG Group's Medium-Term Management Plan "Beyond the Limit 2024."
Overview
| Item | Overview | Notes |
|---|---|---|
| Name | OSG Corporation Series 3 Unsecured Straight Bonds (with an inter-bond pari passu clause) (Green Bond) |
Also known as the OSG Beyond the Limit Bond |
| Maturity | 5-year bond | |
| Issue amount | ¥5 billion | |
| Coupon | 0.514% | |
| Issue date | Thursday, August 10, 2023 | |
| Third-party organization evaluating framework | Japan Credit Rating Agency Ltd. (JCR) | Green 1(F) *Framework evaluation |
| Rating | R&I:A |
Framework
We have set projects such as green buildings, introduction of systems to improve energy efficiency, R&D for eco-friendly products, and etc., as eligible projects for the green bond.
Green Bond Framework (March 2023) (1.29MB)
Second Party Opinion
Framework of this green bond is aligned with the Green Bond Principles 2021 of the International Capital Market Association(ICMA) and the Green Bond Guidelines 2020 of the Ministry of the Environment. The framework is rated Green 1 (F), the highest rating, in "JCR Green Bond Framework Evaluation" by Japan Credit Rating Agency Ltd., a third-party evaluation organization.
Green Bond Framework Evaluation provided by JCR (814KB)