Mercari, Inc. (Representative Director and CEO: Shintaro Yamada; “Mercari”) signed a Sustainability Linked Loan (“SLL”) agreement with Mizuho Bank, Ltd. (President: Masahiko Kato, “Mizuho Bank”) on March 27, 2025. This agreement converts Mercari’s existing loan from Mizuho Bank to an SLL, with no change in total loan amount.
An SLL is a loan in which the financial terms, such as interest rates, are tied to the borrower’s progress toward the Sustainability Performance Targets (“SPTs”) they have set as part of their ESG strategy. These loans aim to incentivize borrowers to achieve their SPTs and to promote and support economic growth and environmentally and socially sustainable economic activity.
Mercari obtained SBT certification1 in September 2024 for its greenhouse gas emissions reduction targets and strives to be a planet-positive company that contributes to solving environmental and societal issues through its business activities, working to help combat climate change and realize a circular economy in which all forms of value circulate seamlessly.
Now, Mercari has established an SLL framework that defines these targets as SPTs and has obtained third-party evaluation from Japan Credit Rating Agency, Ltd. for conformance with the “Sustainability Linked Loan Principles” and “Green Loan and Sustainability-Linked Loan Guidelines.”2
In addition to Scope 1+2, these SPTs include category 9 of Scope 3 (emissions related to downstream transportation and distribution), which accounts for the majority of greenhouse gas emissions in Mercari’s supply chain. Mercari will work together with its distribution partners to achieve these targets.
This loan is administered by Mizuho Bank, evaluating Mercari on the above initiatives based on the framework established. Having obtained SBT certification, Mercari will work toward achieving a planet-positive financial structure. Furthermore, Mercari’s procurement costs will not increase as a result of the conversion of the existing loan agreement to an SLL, regardless of the progress toward achieving its SPTs.
In 2024, a total of approximately 610,000 tons of greenhouse gas emissions were avoided annually through transactions on Mercari in Japan and the US.3 Going forward, Mercari will strive to do its part in combating climate change and creating a circular economy by continuing to take action to promote reuse and provide alternatives to throwing items away.
Mizuho Bank is strengthening its initiatives toward realizing a sustainable society (Sustainability Actions), and will strive to achieve sustainability transformation (SX) alongside its customers by creating a cash flow that solves environmental and societal issues through sustainable finance and the provision of solutions leveraging knowledge and features beyond finance.
Loan Overview
| Lender | Mizuho Bank, Ltd. |
| Borrower | Mercari, Inc. |
| Date of signing agreement | March 27, 2025 |
| Effective date | March 31, 2025 |
| Effective amount | 15B JPY |
| Use of funds | Long-term working capital |
| Period | 7 years |
| Sustainability Performance Targets | Scope 1+2: Reduce emissions by a total of 90% (compared to 2021) by 2030 Scope 3: Reduce category 9 added value-related emission output levels by 51.6% (compared to 2023) by 2030 |
1. Mercari Obtains SBT Certification for Greenhouse Gas Emissions Reduction Targets:
https://about.mercari.com/en/press/news/articles/20240925_sbt/
2. Japan Credit Rating Agency, Ltd. website:
https://www.jcr.co.jp/en/
3. Mercari Publishes FY2024.6 Impact Report:
https://about.mercari.com/en/press/news/articles/20240925_impactreport/