In a collaborative effort with Rabobank, Philips has developed the Green Innovation Bond as part of its sustainability strategy.
This enables the health tech giant to issue “green” innovation bonds as an alternative means to finance its sustainability activities.
“Philips is a pioneer in advancing sustainability in all areas of its business, and issuing this inaugural Green Innovation Bond is a good example of that,” said Abhijit Bhattacharya, CFO of Royal Philips. “The proceeds of this bond will be used as an alternative means to finance our expenditures on green innovation, the transition to the circular economy, and becoming carbon neutral, for which we have set clear targets.”
Philips has transformed from a diversified conglomerate into a key player in the field of health technology. The company has drawn up a comprehensive sustainability strategy and aims to devote its innovations to making the world more sustainable and healthier.
The Green Innovation Bond gives investors the opportunity to contribute to the development of for example, new, more energy-efficient medical systems and devices. That way, investors contribute to Philips' sustainability strategy – and ultimately to bringing about a circular economy.
“Philips and Rabobank are both at the forefront in sustainability and innovation of their respective industries,” said Wiebe Draijer, CEO of Rabobank. “This transaction is another testament of how corporate and financial leaders are moving ahead in achieving the United Nations Sustainable Development Goals and leaving a better world for generations to come.”