Cooking stove manufacturer BURN Manufacturing, headquartered in the U.S., has issued a $10 million green bond to support clean energy projects in Kenya and Nigeria. The bond proceeds will enable the company to expand its manufacturing capacity in Kenya and establish a new manufacturing facility in Lagos, Nigeria, increasing production from 400,000 to 600,000 units per month. Burn will produce biomass, electric, and LPG (liquefied petroleum gas) stoves, benefiting an additional two million households in 2024. This green bond issuance reflects Burn's commitment to environmental and social change through financial innovation, leveraging investment community interest and potential tax advantages for investors.
Burn's decision to issue the first green bond for clean cooking demonstrates its dedication to sustainable development. The bond issuance was facilitated by Dry Associated Limited and supported by FSD Africa, a development agency funded by UK International Development. The proceeds will help households in Africa transition to more sustainable cooking alternatives, reducing reliance on biomass fuel. Burn, which launched its first manufacturing facility in Kenya in 2014, continues to drive positive environmental and social impact in the region.