Brambles (ASX: BXB) – Brambles Prices 850M Euro Green Bond

Brambles Limited has priced an €850 million green bond under its European Medium-Term Note programme, marking a significant capital raising activity that demonstrates the company’s continued access to debt markets and commitment to sustainable financing practices. The bond, issued through subsidiary Brambles Finance plc and guaranteed by Brambles Limited, Brambles Finance Limited and Brambles USA, carries a coupon of 4.375% and matures in 2034. Settlement is expected to occur on 16 November 2026.

The bond proceeds are earmarked to finance and refinance a portfolio of Eligible Green Assets aligned with Brambles’ Green Finance Framework. The company has obtained a Second Party Opinion confirming the framework’s compliance with both the International Capital Market Association’s Green Bond Principles and the Loan Market Association’s Green Loan Principles. This verification provides institutional investors with confidence that capital is deployed to meet defined environmental criteria. For asset managers with ESG mandates, this framework provides the transparency increasingly demanded by the market when tracking how capital supports environmental objectives.

The capital raise addresses Brambles’ ongoing funding requirements across its global operations. The company operates across approximately 60 countries, primarily through its CHEP brand, with largest operations in North America and Europe. The €850 million denomination, priced in euros, provides natural hedging benefits for the company’s European revenue streams and operational expenditures. By sourcing capital in euros, Brambles reduces currency conversion costs and refinancing risks inherent in converting domestic currency proceeds.

The 4.375% coupon reflects the cost of capital for a logistics and supply chain solutions business of Brambles’ scale and credit profile in current European debt markets. Brambles manages an asset base of 352 million pallets, crates and containers through a network of 750-plus service centres, providing the scale advantages that underpin its market position and financial resilience. The company employs approximately 12,000 people globally and is listed on the Australian Securities Exchange as an ASX20 constituent.

By explicitly linking capital raises to environmental commitments, Brambles integrates sustainability considerations into its capital allocation strategy, reflecting its regenerative ambition within the supply chain sector. Market participants should monitor the settlement process scheduled for 16 November 2026 and the subsequent deployment of the €850 million proceeds against the stated Eligible Green Assets. The pricing reception and market demand for the bond reflect confidence in the company’s creditworthiness and strategic positioning. This announcement has been flagged as price sensitive and material by the Australian Securities Exchange.

View the full ASX announcement (PDF)

About Brambles Limited (ASX: BXB)

Brambles Limited is a supply chain logistics company that operates under the CHEP brand across approximately 60 countries. The company provides reusable pallets and containers, along with logistics platforms to transport goods across supply chains for consumer staples, retail, automotive, and general manufacturing industries. Headquartered in Sydney, Australia, it operates through three geographical segments: CHEP Americas, CHEP EMEA, and CHEP Asia-Pacific.