Press release
- TBM
Concluded a long-term loan agreement totaling 3.62 billion yen through co-financing of syndicated loans and equity loans
~ Acquired “Green 1”, the highest green loan rating from JCR, in recognition of initiatives that contribute to reducing environmental impact ~
TBM Co., Ltd., Ltd. (Headquarters: Chuo-ku, Tokyo, CEO: Nobuyoshi Yamasaki, hereinafter referred to as TBM) announced on March 31, 2021, The Nanto Bank, Ltd. (Headquarters: Nara City, Nara Prefecture, President: Takashi Hashimoto, Nanto Bank, Ltd.) as the lead bank, syndicated loans *1 from 10 regional banks, and co-financing with government-affiliated financial institutions (The Shoko Chukin Bank, Ltd., Japan Finance Corporation) for a total of 3.62 billion yen. We are pleased to inform you that we have signed a long-term loan agreement. Japan Credit Rating Agency, Ltd. (Headquarters: Chuo-ku, Tokyo; President: Shokichi Takagi; hereinafter referred to as JCR) gave this syndicated loan the highest rating of "Green 1" as a green loan evaluation. I got
Going forward, TBM will continue to promote the spread of environmentally friendly materials and products, such as LIMEX, in Japan and overseas through collaboration with financial institutions, and further accelerate our efforts to achieve business growth and the realization of a sustainable society. I will come.
*1 A “syndicated loan” is a method in which the lead bank (arranger) forms a syndicate group with multiple financial institutions and provides loans under the same transaction conditions based on a single loan agreement.
Use of this loan
Since its establishment in 2011, TBM has been promoting the development, manufacturing, and sales of "LIMEX," a new material primarily made from inorganic materials such as calcium carbonate. Its contributions to resource conservation and climate change mitigation through CO2 emission reduction have been recognized, and currently, LIMEX is being adopted by over 6,000 companies and local governments in Japan as a substitute for plastics and paper. Furthermore, in response to the growing global need for a circular economy, TBM is strengthening partnerships with local governments and companies, going beyond the realm of a materials manufacturer, to promote the widespread adoption of material circulation models.
The funds borrowed under this agreement will be used for the construction and equipment purchase of our second domestic plant, the "Tagajo Plant," located in Tagajo City, Miyagi Prefecture. Tagajo Plant will not only continue to manufacture materials on a fabless basis through our existing partner plants, but will also improve the production system and quality stability of LIMEX sheets and LIMEX Pellets manufactured in-house. It is scheduled to begin full operation in April 2021 as a model plant for promoting domestic adoption and global expansion through technology export.
<Details of long-term loan agreement>
Borrowing amount: 3.62 billion yen
Use of borrowings: Funds for factory construction and purchase of equipment, working capital for business
Participating financial institutions:
[Syndicate loan (2.4 billion yen)] Nanto Bank (arranger), Akita Bank, Shikoku Bank, Yamagata Bank, Iwate Bank, Yamanashi Chuo Bank, Senshu Ikeda Bank, Aomori Bank, Gunma Bank, Hyakujushi Bank
[Equity loan (1.22 billion yen)] Shoko Chukin Bank, Japan Finance Corporation
Acquired JCR Green Loan Evaluation “Green 1”
TBM promotes its business with sustainability at the core of its management. In order to realize the mission of "Bridging today and the future we want.", we will not only spread LIMEX and other environmentally friendly materials and products, but also contribute to society and the economy through factory construction and job creation in the disaster area. We aim to contribute to Efforts to reduce environmental impact at TBM are carried out mainly by departments specializing in sustainability, based on decisions made by the Sustainability Committee chaired by the Representative Director and CEO.
For example, we evaluate the environmental impact of LIMEX and LIMEX products over their entire life cycle through life cycle assessment (LCA), consider measures to reduce environmental impact, and verify the effectiveness of technologies introduced to reduce impact. In August 2020, we switched to virtually 100% renewable energy at the Shiroishi Plant, contributing to an annual reduction of approximately 888 tons of CO2, actively reducing our environmental impact. In response to the syndicated loan agreement signed by Nanto Bank as the lead bank, JCR will use the proceeds of the loan to build the Tagajo Plant, which will help improve the environment through the development of the LIMEX business and ensure transparency regarding the management and operation system of the loan. We received a green loan rating of “Green 1,” which is the highest rating for green loans.
<JCR evaluation results>
Based on the JCR Green Finance Evaluation Method, the "greenness evaluation (use of funds)" was set to "g1" and the "management, operation, and transparency evaluation" to "m1" for this loan. As a result, "JCR Green Loan Evaluation" was set to "Green 1". In addition, this loan is considered to meet the standards for the items required by the Green Loan Principles and the Green Bond Guidelines of the Ministry of the Environment.