Footasylum has secured a £35m loan from HSBC to support its UK expansion and sustainability goals.
- The loan includes a Sustainability Improvement Loan, which lowers interest rates based on Footasylum’s ESG performance.
- Footasylum plans to open new stores across the UK by the year’s end.
- Investment in omnichannel technology will enhance digital customer experiences.
- The company aims for carbon net-zero emissions by 2030 and 2040 for different scopes.
Footasylum has successfully obtained a £35 million funding package from HSBC to back its UK expansion and green initiatives. This strategic move is set to position Footasylum as a leading retailer in sustainability and growth. The funding features a Sustainability Improvement Loan, which ties interest rates to the company’s performance in environmental, social, and governance metrics, as assessed by EcoVadis.
The new funding will facilitate Footasylum’s ambitious store expansion plan, with openings scheduled in Aberdeen, Warrington, Doncaster, Rotherham, and Wrexham by the year’s end. This expansion is part of a broader strategy to strengthen its foothold in the UK market.
Beyond expanding its physical presence, Footasylum is investing heavily in omnichannel technology, enhancing the digital shopping experience for its customers. This investment will also support its in-house brands and solidify its position in the burgeoning streetwear market.
Sustainability is at the core of Footasylum’s future objectives. The company pledges to achieve carbon net-zero for Scope 1 and 2 emissions by 2030, extending this goal to Scope 3 emissions by 2040. Progress has been visible since 2020, with carbon offsetting efforts and a commitment to an electric or hybrid vehicle fleet by 2025 already in motion. Currently, 70% of its logistics operations utilise biodiesel, and all carrier bags provided are made from 100% recycled materials.
CFO Nick Scott articulated the significance of the funding, stating, “This funding from HSBC UK is a key milestone in our growth journey and will help us achieve our ambitious environmental policy.” HSBC’s Zubayr Atcha echoed this sentiment, highlighting Footasylum’s dynamic presence in the consumer space.
This financial backing marks a significant step in Footasylum’s journey towards expansive growth and sustainable practices.
