The multinational foodservice company will use the proceeds of the bonds to increase its fairtrade purchases and enhance its operations with local and diverse suppliers
Compass Group will use the proceeds to enhance responsible sourcing | Photo credit: Compass Group
Compass Group has issued two Sustainable Bonds, raising proceeds of €500m and £250m respectively, which will be used to grow the company’s sustainable initiatives.
The foodservice group announced a global commitment to Climate Net Zero in October 2021, including a pledge to be carbon neutral across its global operations by 2030.
The proceeds from the new Sustainable Bonds will be used to improve existing Compass Group projects that seek to enhance responsible sourcing and boost products purchased from local and diverse suppliers.
Projects cited by Compass Group include sourcing goods which are certified Sustainable, Fairtrade or Organic, goods from local, socially diverse or minority suppliers and more focused net zero initiatives such as electrifying its fleet, increasing renewable energy use and promoting plant-based products.
“As a group, we recognise the importance of acting on climate change and are committed to delivering a sustainable future for all. Our new Sustainable Bonds and Sustainable Financing Framework not only reflect our objective to be a socially and environmentally responsible organisation for our clients, employees, suppliers, and wider society; they also support our long-term Climate Net Zero ambitions.
“We intend for the proceeds of the Sustainable Bonds to initially support the increased purchase and tracking of Fairtrade and sustainable goods within our supply chain, reducing our Scope 3 emissions footprint, while funding diverse and minority suppliers,” said Palmer Brown, Group Chief Financial Officer, Compass Group.
The UK-based contract foodservice company posted third quarter revenue growth of 43.4% in July 2022. The business operates in more than 40 countries, specialising in providing food and a range of support services across the core sectors of Business & Industry, Healthcare & Senior Living, Education, Sports & Leisure and Defence, Offshore & Remote.