ESG Under Pressure: An expert case-study compendium
In today’s world, it’s impossible to overlook the essential role ESG diligence plays in the decision-making of key players in market-shaping transactions. Understanding how to comprehensively identify and price ESG risks, as well as spot growth opportunities that offer twin financial and ESG benefits, has become essential for those on the buy-side looking to position themselves well for the long term.
According to Wolfgang Vitzthum, Director of ESG and Sustainable Finance Solutions at Commerzbank, when it comes to dealmaking, it’s now crucial to prepare ESG due diligence as a separate topic in itself:
“ESG is now an important pillar, like tax, finance or HR. You have to sit down with management and really understand the ESG positive factors and the risks [prior to making any financial decisions].”
To equip leaders on the buy-side with the skills to enact ESG analysis robust enough to make data-backed decisions that drive business success, Reuters Events and Intralinks have sat down with global leaders across banking, business, and private equity to compile a case-study compendium illustrating their top strategic priorities for ESG diligence.
Key takeaways:
- In a time-pressured M&A environment, ESG considerations can and should impact every step in a transaction — from LOI to PMI.
- Increasingly, ESG diligence is going beyond simple risk management, identifying strategic growth opportunities for having significant ESG impact which goes hand in hand with superior returns.
- Artificial intelligence (AI), virtual data rooms (VDRs), and other tech innovations are being used on the buy-side to cope with the heightened cybersecurity threats that come with a growing influx of sensitive ESG information.
This whitepaper features expert insights and exclusive case-studies from interviews with Global Heads at Santander Corporate & Investment Banking, Commerzbank, Standard Chartered, Cinven, Hewlett Packard Enterprise, and the Emerging Markets Investors Alliance.