Nomura : Acts as Bookrunner on Green Bond Offering for Mitsui Fudosan(PDF 108KB)

News Release

Nomura Acts as Bookrunner on Green Bond Offering for Mitsui

Fudosan

Tokyo, September 6, 2019-Nomura Securities Co., Ltd., a wholly owned subsidiary of Nomura Holdings, Inc., today announced that it has priced a five-year Green Bond1 issue valued at 50 billion yen for Mitsui Fudosan Co., Ltd. Nomura acted as bookrunner and green bond structuring agent2 for the offering.

ESG (Environmental, Social and Governance) issues are a key area of focus for Mitsui Fudosan Group. To achieve continuous value creation, in May 2018 the company established its long-term management plan Vision 2025 outlining six priority goals. Aimed at enhancing urban development to realize a sustainable society and continued profit growth, the goals include creating a society where a diverse workforce can thrive; achieving health, safety and security in people's daily lives; reducing environmental impact and generating energy; and continuously improving compliance and governance.

The proceeds from the offering will be used to refinance the acquisition of reserved floors in the Nihonbashi Muromachi Mitsui Tower in Tokyo, which was completed in March 2019. The building features an environmentally-friendly design, including super-insulated, high performance glass, total heat exchangers, LED lighting and solar power generating equipment.

The Nomura Group ESG Statement was published in January this year. The purpose of this statement is to further promote the realization of a sustainable environment and society by informing stakeholders about the firm's approach to ESG-related activities and its envisaged response to environmental and social risks.

The United Nations' Sustainable Development Goals (SDGs) have gained widespread recognition in recent years. As part of this, green bonds aimed at addressing environmental issues, social bonds that target improved social outcomes and sustainability bonds used for both social and green projects, have been attracting attention globally.

By underwriting these types of bonds, Nomura aims to support the growth of the SDG bond market in Japan, and serve as a bridge between investors who want to contribute to society and projects with capital needs that aim to resolve social issues such as climate change,

1. Green Bonds are any type of bond instrument where the proceeds will be exclusively applied to finance eligible Green Projects. Mitsui Fudo san has developed a framework fo r the offering in accordance with the 2018 Green Bond Principles and 2017 Green Bond Guidelines. Mitsui Fudo san's green bonds have received a Second-Pa rty Opinion from R&I, a rating company, to ensure the green bond framework conform s to the 2018 Green Bond Principles and the Japanese Ministry of Environment's 2017 Green Bond Guidelines. The company has received a GA1 rating. The bond offering is eligible for sub sidies under the Ministry of Environment's "FY2019 Financial Support Program for Green Bond Issuance. " (http://greenbondplatform.env.go.jp/en/)
2. A green bond structuring agent supports the issuance of green bonds by advising issuers on the development of a framework and obtaining a second-party opinion. Nomura acted as green bond structuring agent together with SMBC Nikko for the offering.

innovation and regional revitalization. Nomura will also work to contribute to economic and sustainable social development and promote initiatives to achieve the SDGs.

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Nomura

Nomura is an As ia- headquartered financial serv ices group w ith an integrated global netw ork spanning ov er 30 countries. By connecting markets East & Wes t, Nomura s ervic es the needs of indiv iduals , institutions, corporates and governments through its four bus iness div isions : Retail, Asset Management, Wholes ale (Global Markets and Investment Banking), and Merc hant Banking. Founded in 1925, the firm is built on a tradition of disc iplined entrepreneurship, serv ing c lients w ith creativ e solutions and c ons idered thought leaders hip. For further information about Nomura, visit w w w.nomura.com