AC Bebidas Successfully Issues Local Green Bonds

AC Bebidas Successfully Issues Local Green Bonds

 

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AC Bebidas Successfully Issues Local Green Bonds

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Monterrey, Mexico, May 11, 2021.- Arca Continental, one of the world’s largest Coca-Cola bottlers, announced today that its subsidiary AC Bebidas, S. de R. L. de C.V. (“AC Bebidas”) successfully completed the issuance of Ps. 4,650 million in local green bonds (“Certificados Bursátiles”).

The bonds are one of the first issued in pesos by a beverage company in Mexico. AC Bebidas placed two tranches, Ps. 3,000 million for 7 years accruing an annual fixed rate of 6.75% and Ps. 1,650 million for 4 years accruing a variable rate of TIIE plus 7 basis points.

The transaction was well received by investors, with an excess demand of 4.3 times of the amount issued.

Both issues received the highest credit ratings in Mexico, including “mxAAA” by S&P and “AAA(mex)” by Fitch Ratings.

“The fact that these bonds were so well received by investors is proof of the trust Arca Continental has built in the financial community, based on the positive financial results of the company during the pandemic, as a result of our discipline in managing debt and solid operational performance. It also reaffirms our commitment to sustainability in a framework of ethics and good corporate governance, with the goal of having a positive impact in the communities which we serve,” said Emilio Marcos Charur, Chief Financial Officer for Arca Continental.

The resources obtained from the placement will be used to finance green projects that promote the transition to a low carbon economy and comply with the Green Bond Principles (GBP) from the International Capital Market Association (ICMA) aligned to the Sustainable Development Goals of the United Nations.

Among the eligible projects are those that mitigate emissions from production activities, compensate water consumption, ecosystems and adjacent water bodies protection, and to reduce wastes and maximize recycling programs. 

In this manner, Arca Continental ratifies its commitment to the environment and the harmonious development of the communities it serves, in a framework of ethics and social responsibility. 

 

About Arca Continental

Arca Continental produces, distributes, and markets beverages under The Coca-Cola Company brand, as well as snacks in Mexico, Ecuador, and the United States. With an outstanding history spanning more than 95 years, Arca Continental is the second-largest Coca-Cola bottler in Latin America, and one of the largest in the world. Through its Coca-Cola franchise, the company serves more than 123 million people in the Northern and Western regions in Mexico, as well as in Ecuador, Peru, in the Northern region of Argentina, and in the Southwestern United States. Arca Continental is listed on the Mexican Stock Exchange under the ticker “AC”. For more information about Arca Continental, please visit www.arcacontal.com

 

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