Business people shaking hands
May 2022

ALDI SOUTH announces to link a more than one billion euros credit facility to sustainability

HOFER KG which manages the international activities of the ALDI SOUTH Group outside of Germany, has signed a more than one billion euros revolving credit facility (RCF) that is linked to specific sustainability targets of the company. The RCF has a term of five years and includes two extension options of one year each.

Roland Steinwender

„During the last few years, we have noticed an increased interest in sustainability coming from the financial markets. At the same time, banks have provided us with a very positive feedback on our international CR strategy. Therefore, linking the financing to certain sustainability goals was included already at an early stage in the discussions with our bank partners. We are convinced that we can support and promote the strong commitment to being a reliable and sustainable retailer also through our financial strategy.”

Roland Steinwender, Managing Director International Finance & Administration

The credit facility is - for the first time - linked to sustainability goals of the ALDI SOUTH Group, which have a positive or negative impact on the credit margin, depending on whether the targets are achieved. The three targets reflect the three international focus areas of zero carbon, resource efficiency and human rights, with which ALDI SOUTH aims to achieve its Vision 2030: Making sustainability affordable for its customers.

Specifically, the agreed targets include the following three points:

  • By the end of 2025, ALDI SOUTH will have conducted a total of twelve Human Rights Impact Assessments to better understand, assess and address the adverse impacts of its business. The focus will be on the most critical supply chains, such as coffee, cocoa, tropical fruits, and textiles.
  • In line with its vision of "Zero Carbon ", ALDI SOUTH commits to reduce its CO2 emissions by 36 per cent internationally by the end of 2025 compared to 2016. ALDI SOUTH will invest in modern technologies such as photovoltaic and refrigeration systems across its stores and regional distribution centers. In addition, ALDI SOUTH encourages its suppliers to establish their own reduction targets by 2024.
  • ALDI SOUTH is increasing the number of sustainable products in its product range by 10 percent by 2025. The focus is primarily on critical product groups like coffee and cocoa, wood, fish, and seafood as well as cotton. For the sake of transparency and verifiability, ALDI SOUTH relies on third-party certifications such as Fairtrade, Rainforest Alliance, Organic and FSC.

For many years, the Group has successfully integrated sustainability into the business. The new International CR Strategy focuses on the most pressing global challenges. The ten-year strategy includes a total of six key areas: respecting human rights, increasing resource efficiency, reducing all emissions, positioning the company as an attractive employer, giving all customers access to healthy products, and supporting local communities. Eleven long-term goals have been defined, such as increasing supply chain transparency, expanding human rights programs, and reducing greenhouse gas emissions. ALDI SOUTH aims to enable its customers to consume consciously and sustainably while staying true to its discount value proposition.

Anke Ehlers

“We have already come a long way towards achieving our sustainability goals in recent years, but that is not enough. It is always our ambition to take a best-in-class approach. Tying our sustainability goals with our finance strategy is an important step to integrate our Corporate Responsibility agenda into crucial corporate functions. This is how we succeed in making sustainability an integral part of our business and value chain.”

Anke Ehlers, Managing Director International Corporate Responsibility.

The new revolving credit facility is provided by a consortium of international banks, with HSBC acting as the documentation agent and sustainability coordinator.


ALDI CR Vision 2030

Human Rights

CR into buying
CR into buying

Resource Efficiency

Sourcing sustainably
Sourcing sustainably

Zero Carbon

Emissions in our operations
Emissions in our operations

Sustainable Development Goals

8 Decent work and economic growth 12 Responsible consumption and production 13 Climate action 17 Partnerships for the goals