Ahold Delhaize’s Green Bond Allocation Reinforces Commitment to Sustainable Finance

Company invests in green projects that further reduce its greenhouse-gas emissions and climate impact

4/29/2024

Ahold Delhaize has allocated the largest portion of the company's green bond proceeds to the green buildings and energy efficiency categories.

Zaandam, Netherlands-based Ahold Delhaize has allocated the full proceeds of the company's first green bond to investments in green projects that further reduce the company's greenhouse-gas (GHG) emissions and climate impact.

Ahold Delhaize raised €500 million in April last year by issuing a green bond under its updated Green Finance Framework. It allocated the largest portion of the proceeds to the green buildings and energy efficiency categories. Throughout 2022 and 2023, bond proceeds have allowed the addition of six distribution centers and 51 stores to the company’s building portfolio with Energy Performance Certificate (EPC) Label A.

The retail conglomerate is implementing energy efficiency measures across all of its local brands. Examples of earmarked projects include the installation of heat pump systems, LED lighting and energy-efficient doors on refrigerated cases in stores and distribution centers, as well as the replacement of refrigerants with lower-global-warming-potential alternatives.

“Building on the success of our first sustainability bond issuance in 2019 and our 2021 sustainability-linked bond issuance, our inaugural green bond reinforced our commitment to sustainable finance. It aligns with Ahold Delhaize’s Healthy & Sustainable strategy and funds our climate transition,” said Miguel Silva Gonzalez, SVP and treasurer at Ahold Delhaize.

Ahold Delhaize’s "Green Bond Allocation and Impact Report " is available online. KPMG Accountants N.V. provided limited assurance on the allocation report.

Progressive Grocer selected Ahold Delhaize USA as one of its Top 10 Sustainable Grocers in 2024. This was in part because its parent company, Ahold Delhaize, made significant progress in sustainability across its companies, further reducing GHG emissions in its own operations by 35% compared with its 2018 baseline, lowering food waste per food sales by 37% compared with its 2016 baseline, and reducing virgin plastic in own-brand primary packaging by 10% compared with its 2021 baseline.

Ahold Delhaize USA, a division of Zaandam, Netherlands-based Ahold Delhaize, operates more than 2,000 stores and 20 distribution centers across 20-plus states. It is No. 10 on The PG 100, Progressive Grocer’s 2023 list of the top food and consumables retailers in North America. Ahold Delhaize’s U.S. companies include its local brands Food Lion, Giant Food, The Giant Co., Hannaford, and Stop & Shop. PG also named Ahold Delhaize USA one of its Retailers of the Century.