Electrolux Group signs sustainability-linked loan with the Nordic Investment Bank (NIB)

AB Electrolux and the Nordic Investment Bank (NIB) have signed a USD 150 million eight-year sustainability-linked loan to refinance existing debt.

Electrolux Group was one of the first 100 companies worldwide to sign up for the Science Based Targets initiative (SBTi) and get its carbon emission reduction targets approved by SBTi back in 2018. The targets were fulfilled in 2022, three years ahead of target.

New carbon emission reduction targets were approved by SBTi in 2023 in which Electrolux Group aims to reduce carbon emissions from own production facilities (Scope 1&2) by 85% and decrease CO2 emissions in the value chain (Scope 3) by 42% by 2030 compared with 2021. The interest rate margin of the NIB loan is linked to these scope 1, 2-& 3 targets and to an additional target to decrease Electrolux Group carbon emissions from the use of sold products (with fixed energy mix and sales volumes) by 1% per year until 2027.

“Our science-based target guides our efforts to continue reducing our carbon footprint significantly and we appreciate the ongoing support from NIB to help us achieve it. From the energy we source in our operations, to coming up with innovations that allow both ourselves as a business and anyone who buys our products to have a lower impact on the planet is central to us,” says Elena Breda, Electrolux Group Chief Technology and Sustainability Officer.