Apple Inc AAPL said Tuesday that it was expanding its "Restore Fund" and doubling its commitment to pushing forward high-quality, nature-based carbon removal projects.
What Happened: The Tim Cook-led company said in a statement that the Restore Fund will now be additionally funded with a new investment and will have a fresh portfolio of "carbon removal projects."
See Also: A Guide To What Is ESG Investing?
Apple will invest up to an additional $200 million in the new fund, which will be managed by Climate Asset Management — a joint venture between HSBC Asset Management and Pollination.
"The Restore Fund is an innovative investment approach that generates real, measurable benefits for the planet, while aiming to generate a financial return," said Lisa Jackson, Apple's vice president of Environment, Policy, and Social initiatives.
Apple's three initial investments are located in Brazil and Paraguay and aim to restore 150,000 acres of sustainability-certified working forests and protect another 100,000 acres of native forests, grasslands, and wetlands.
Why It Matters: "The new portfolio also aims to remove 1 million metric tons of carbon dioxide per year at its peak while generating a financial return for investors," said Apple.
Apple and Climate Asset Management are taking what the company said was a "broadened" approach to prospective projects by combining two types of investments — nature-forward agricultural projects and projects centered around the conservation of critical ecosystems.
Apple said it has already been carbon neutral for its corporate operations and last year it called on its suppliers to become carbon neutral across all company-related operations by 2030.
The original $200 million Restore Fund was created in April 2021 and was centered around sustainable investments.
Price Action: On Tuesday, Apple shares closed 0.8% lower, at $160.80, in the regular session and gained 0.1% in the after-hours trading, according to Benzinga Pro data.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
