ESG & Investing
Bunge Bondholders at Risk as EU Rules Aim to Protect Rainforests
- Anthropocene Fixed Income Institute sees credit deterioration
- World’s largest producers are pushing back against the rules
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Investors in Bunge Ltd.’s $2.9 billion of bonds are the most exposed to the European Union’s plan to ban imports of raw materials produced on deforested land.
That’s the warning, at least, of analysts at the Anthropocene Fixed Income Institute who say the crop trader’s investors are among those at risk of the credit impact of the EU’s efforts. The new rules require companies that sell certain commodities in the region to prove they’ve avoided using deforested land.