Alphabet Issues Sustainability Bonds To Support Environmental, Social Initiatives

Alphabet Inc., Google's parent company, announced Monday that it has issued sustainability bonds worth 5.75 billion U.S. dollars, as part of a 10-billion-dollar debt offering

SAN FRANCISCO, (APP - UrduPoint / Pakistan Point News - 4th Aug, 2020 ) :Alphabet Inc., Google's parent company, announced Monday that it has issued sustainability bonds worth 5.75 billion U.S. Dollars, as part of a 10-billion-dollar debt offering.

It is "the largest sustainability or green bond by any company in history," Alphabet's Chief Financial Officer Ruth Porat said in a statement.

"Although a number of companies have issued green bonds (directed solely to environmental uses), sustainability bonds differ in that their proceeds support investment in both environmental and social initiatives," according to the statement.

"We're encouraged that there was such strong demand for these bonds from investors -- they were significantly oversubscribed," it added.

According to Porat, eligible projects for use of the proceeds are within eight areas -- which build on investments the company has previously made and will not be allocated to any Google.org activities -- namely energy efficiency, clean energy, green buildings, clean transportation, circular economy and design, affordable housing, commitment to racial equity, and support for small business and COVID-19 response.

Alphabet will report back annually on which projects have been funded from the bonds' proceeds and their expected impact to ensure transparency and alignment with its sustainability bond framework, the statement added.