- Kristopher Fraser
Chanel has raised a 699-million-dollar bond with clauses linked to its
environmental and climate goals. The news was reported by Reuters.
As sustainability continues to be one of the key topics in the fashion
industry, Chanel is making sure it’s on board with the industry shift to
going green. The company is working on switching away from less
eco-conscious materials used in clothing and handbags and are looking at
ways to try and improve their energy sourcing in stores.
The five- and ten-year bond issued by Chanel marks the first time the
company has embarked into the bond market. There’s potential for some
proceeds to go toward startups developing alternatives to materials like
plastic. The terms of the deal say Chanel will have to pay a premium when
the bonds mature if it doesn’t mean emission cutting goals within the
company and their supply chain.
Chanel is looking at ways to restructure their future financing strategy
and keep it in line with their new sustainability goals. The brand is
literally on to greener pastures.
photo: via Chanel.com