Mars, Incorporated completes $500 million Sustainability Bond to help tackle global environmental threats

Claus Aagaard, Chief Financial Officer at Mars, Incorporated said: “The situation facing our planet is urgent. That means that now more than ever, businesses must stand for more than just maximizing profit and take real action to avoid the worst impacts of climate change, and to protect the future for coming generations. Finance is at the heart of this pursuit: we cannot uncouple sustainability from financial performance, rather the two are mutually reinforcing. We are proud to have today completed this bond offering, which will help us to meet our science-based targets set as part of our Sustainable in a Generation Plan and help finance other projects that contribute to a more sustainable future​.”

The announcement brings Mars one step closer to its goal to achieve net zero emissions by 2050. Mars said it has reduced the total greenhouse gas emissions by 8% since it made its net zero commitment, “but there is more work to do beyond that. That’s why Mars is investing $2.7 billion across SiGP to make a tangible difference for the planet and society today, and for future generations​,” it said. “Companies have the tools to start making sustainable changes and improvements. With today’s announcement, Mars wants to encourage other CFOs and companies to put the financing and tools in place for businesses to take action today, to create the world we want tomorrow​.”

Bond offering and Notes

Mars, Incorporated also announced that it has successfully completed its previously announced offering of $2.5 billion of senior notes, consisting of $1.0 billion in aggregate principal amount of 4.550% Senior Notes due 2028 (the ‘2028 Notes’), $500 million in aggregate principal amount of 4.650% Senior Notes due 2031 (the ‘Sustainability Notes’) and $1.0 billion in aggregate principal amount of 4.750% Senior Notes due 2033 (the ‘2033 Notes’ and, together with the 2028 Notes and the Sustainability Notes, the ‘Notes’).  The Notes are guaranteed on a joint and several basis by Wm Wrigley Jr Company and New Uno Holdings Corporation.

The Company intends to use the net proceeds from the offering of the 2028 Notes and the 2033 Notes for general corporate purposes, which may include the repayment of the Company’s outstanding borrowings under its revolving credit facility.

Mars’s Sustainable in a Generation Plan is built on three pillars underlying the Company’s sustainability strategy: 

• Healthy Planet (including Transforming Packaging): Mars is committed to reducing the greenhouse gas emissions (“GHG”) from its supply chains through investments in renewable energy, water reduction, working to eliminate deforestation in our supply chain and evolving product packaging to support a circular economy where packaging material never becomes waste. Mars has aligned its GHG reduction path with the most ambitious aim of the Paris Agreement to limit global temperature rise to 1.5º C. The Company has set targets to reduce total GHG emissions across its value chain by 27% by 2025 and to achieve net zero emissions by 2050 (compared with a 2015 baseline). 
• Thriving People: Mars focuses on meaningfully improving the lives of one million people across our value chain to enable them to thrive. To do this, we are engaging a network of partners from NGOs to governments and focusing on three areas where we believe we can drive meaningful change — increasing income, respecting human rights and unlocking opportunities for women. 
• Nourishing Wellbeing: Good nutrition, health and wellbeing are essential for billions of people and pets around the world to lead happier, healthier lives. Mars uses its global reach to support the wellness of Mars Associates, as well as enhance its product quality and nutrition and providing access to healthy meals.  We do this by helping our workforce to thrive, by enabling consumers to make informed choices for themselves, their families and their pets, and by working to make safe food available to all.