Polish retailer Zabka issues EUR 236 mln sustainability bonds for expansion at home and in Romania

Polish modern convenience retailer Żabka Group issued a PLN 1 billion (EUR 236 million) local currency sustainability-linked bond to finance its operating costs and capital expenditures in Poland and Romania, the European Bank for Reconstruction and Development (EBRD) announced. The EBRD is a shareholder of Żabka and has purchased PLN 140 million (EUR 34 million) worth of bonds.

In March 2025, Profit.ro announced that Żabka is fueling its Romanian business, launched under the Froo brand, with almost EUR 11 million capital contribution to the local subsidiary, continuing its accelerated expansion on the local market.

At that moment, Żabka was operating over 50 stores in Romania. In accordance with the documents for the IPO operated by the group last October, the group estimates a total market potential of approximately 4,000 stores in Romania.

As part of its sustainability-linked bond framework, Żabka Group has committed to reducing the share of virgin plastic in its own-brand packaging by 38 percent and increasing the value of sales of own-brand food products that promote a sustainable lifestyle. In addition, under the Framework Agreement with the EBRD, the company has committed to reducing its carbon footprint by at least 40 percent by 2028.

(Photo source: Tomasz Smigla/Dreamstime.com)