Ryobi secures green loan for gigacasting factory, new headquarters

Ryobi Limited has secured syndicated loan contracts totaling JPY 20 billion, including a green loan, to finance a large-scale product prototype factory in its Die Castings business and a new ZEB Ready-certified head office building. The seven-year loan, arranged by MUFG Bank and Sumitomo Mitsui Banking Corporation, is effective from September 1, 2025, through August 31, 2032.

The new product prototype factory at the Kikugawa Plant, which commenced operations in March 2025, features an ultra-large 6,500-ton die casting machine for integrated molding of large parts (Giga Casting). This marks the first green loan in Japan for equipment related to this technology. The new head office, completed in November 2024, is the first in Fuchu City, Hiroshima Prefecture, and within the Ryobi Group, to achieve ZEB Ready certification by reducing primary energy consumption by over 50%.

The green loan for the prototype factory was evaluated by Rating and Investment Information, Inc. (R&I) as compliant with "Green Enabling Project" guidelines. The loan for the headquarters adheres to the "MUFG Bank, Ltd. Green and Sustainability-Linked Finance Framework," with a third-party opinion from DNV Business Assurance Japan K.K. Financial covenants stipulate that consolidated net assets must remain at least 75% of the preceding fiscal year's amount, and ordinary income must not incur losses for two consecutive periods.