MIRARTH Holdings Secures Funding Through Sustainability-Linked Loan

MIRARTH Holdings Co., Ltd., headquartered in Chiyoda, Tokyo, has recently announced their successful fundraising initiative through a sustainability-linked loan (SLL) from Kyoto Bank, a prominent bank based in Kyoto city. This move marks a significant step toward enhancing the company's sustainability practices while promoting their commitment to solving social issues and contributing to the Sustainable Development Goals (SDGs).

Overview of the Sustainability-Linked Loan (SLL)

The SLL aligns with the borrower's key management strategies by selecting and setting crucial Key Performance Indicators (KPIs) along with Sustainability Performance Targets (SPTs). Based on the SPTs' achievement, borrowers receive incentives that encourage the advancement of sustainable management. The loan agreement is established utilizing the "MIRARTH Holdings Group Sustainability-Linked Loan Framework," which was formulated in March 2025.

The SLL is deemed a vital tool for addressing social challenges and enhancing sustainability within the group's operations. Moreover, it serves as a renewed opportunity to showcase the group’s efforts to stakeholders, ensuring transparency and accountability in their sustainability pursuits.

Fundraising Details

- Borrower: MIRARTH Holdings Co., Ltd.
- Loan Amount: 1 billion yen (unsecured and without guarantees)
- Use of Funds: Working capital
- Loan Duration: 3 years

Details of KPIs and SPTs

The KPIs established focus on the reduction rate of greenhouse gas emissions across the group (Scope 1 and 2) as compared to the fiscal year 2022. The SPTs set a target for MIRARTH Holdings Group to achieve a 70% reduction in greenhouse gas emissions by 2030 (compared to fiscal 2022 levels).

Below is a breakdown of the SPTs:

- Assessment Period: Fiscal years 2022-2026
- Reduction Rate:

- Target for 2026: 52% reduction from 2022 levels
- Target for 2027: 57% reduction from 2022 levels

For more information on the Sustainability-Linked Loan Framework, please refer to MIRARTH Holdings Group Sustainability-Linked Loan Framework.

Additionally, to understand the compliance with the principles of the Sustainability-Linked Loan, you can view the third-party opinion here.

Commitment to SDGs

MIRARTH Group is dedicated to addressing social challenges and achieving SDGs through sustainable development initiatives. Their purpose is to create a sustainable environment that contributes to the happiness of both humanity and the planet. Their projects range from housing supply to the development of renewable energy sources.

In the real estate sector, Takara Leben, a core subsidiary, has been selected as a planned operator for a public-private partnership project in Chuo Ward, Tokyo. Additionally, they launched the "UKIHA RIVERCAMP," a campsite that repurposes a closed school in Ukiha City, Fukuoka, promoting regional revitalization.

Moreover, MIRARTH has actively participated in redevelopment and rebuilding projects aimed at increasing urban residential options while enhancing the appeal of city centers. This includes projects in Odawara City, Kanagawa Prefecture, and Takaoka City, Toyama Prefecture.

Energy Initiatives

Since entering the mega-solar business in 2013, MIRARTH has continuously expanded its power generation capacity. In 2021, they diversified into biomass and wind power generation ventures. Their energy subsidiary, MIRARTH Energy Solutions, has plans to launch a local subsidiary in Cambodia in February 2024, focusing on processing Cashew nuts and developing biomass fueling solutions using Cashew shells.

To address climate change, MIRARTH has set long-term goals to reduce greenhouse gas emissions by 45% by fiscal 2030 (compared to 2022 levels) and aim for net zero by 2050. This commitment underscores the company’s determination to foster a sustainable future while supporting the global transition towards sustainability.

As they move forward, MIRARTH Holdings continues to advocate for the SDGs across all its corporate arms, striving for a sustainable society.