Abris Capital Partners, one of the leading private equity investors in Central Europe, with 4 Romanian companies in its portfolio, has launched ESG Universe 2023 – a comprehensive program of environmental, social and governance initiatives that commits the firm to achieving a carbon neutral portfolio by 2025.
The strategy, which has been developed over the past three years, encompasses 17 initiatives across governance and culture, standards, education, and carbon neutrality that will set new standards in firm’s ESG best-practice. ESG Universe 2023 retains the clear goal of assisting in risk mitigation and value creation across the Abris portfolio, but at the same time includes the ambitious target of achieving a carbon neutral portfolio by 2025 and puts in place net-zero action plans for each individual portfolio company, making Abris the first private equity house in Central Europe to commit to this goal.
Paweł Gierynski, Managing Partner at Abris Capital, commented: “Over recent years, Abris has made responsible investing a central organizational focus. As a firm, we know what our investors are asking of us in this area. However, we don’t just want to meet these expectations – we aim to far exceed them. We want to set new standards in private equity for sustainable investing, governance and environmental and societal impact, and lead the drive towards greater sustainability and carbon neutrality. This is a very difficult, pioneering task, but its attainment will determine the real winners and losers in the future.”
Abris’ ground-breaking commitment to carbon neutrality begins with precise measurement of the carbon footprint of all companies in its portfolio, followed by the creation of emissions reduction action plans and a catalog of validated offset initiatives, enabling the portfolio to reach neutrality in 2025. To ensure the program is focused mostly on real reductions rather than offsets, over the course of each year Abris will invest in further emission-reduction projects, meaning each individual company will be able to reach net-zero within an ambitious but realistic timeframe.
To date, Abris has invested in more than 25 businesses across five countries in Central Europe and has 4 Romanian companies in the current portfolio: Pehart, Green Group, GTS Group and Dentotal Protect.
Adrian Stănculescu (photo), Head of Abris Romania and Partner, commented: “Circular economy has proved to be one of the hot topics of the moment, especially during this pandemic context. Responsibility of protecting the environment reduces to not only to a personal level, as individuals, but also to the business level, as organizations. We strive to drive change and a shift of perspective towards the impact that our companies’ operations have on the society as a whole. We believe that this is how the entire private equity ecosystem in the region should act now.”
Abris’ ESG Universe 2023 strategy has been developed over the past three years. Last year Abris launched its own ESG Scoring Application – a proprietary IT tool that tracks more than 500 measures, looking at specific risks within each portfolio company, supporting investment decision making and reporting value created to investors.
ESG Universe 2023 will continue to focus strongly on measurement of ESG factors and setting KPIs across the portfolio, with new processes to ensure efforts are rewarded in terms of performance through the tracking of value enhancement and risk detection. Abris will also create an ESG Knowledge Database, shared across its portfolio, comprising tools, procedures, manuals, and templates, to provide the investment team and portfolio managers with end-to-end guidance on integrating ESG into their daily work.
Abris Capital Partners
Abris Capital Partners is a leading independent private equity fund manager, focused on mid-market opportunities in the major countries of Central Europe. Established in 2007, Abris seeks to identify, and partner with, the most successful and dynamic mid-market businesses in Central Europe, which can benefit from an input of capital and/or management expertise at both strategic and operational levels. With investment capital of almost €1.3 billion, Abris has obtained financial backing from many leading global investment institutions including corporate and public pension plans, financial institutions, funds of funds and US university endowment funds. Abris has a long-term investment horizon and usually targets transactions in which it is able to acquire a majority or sole ownership position. The typical financial commitment by Abris to any single transaction can range from €30 million to €75 million, with larger commitments available if required. The Abris advisory business operates using teams based in Warsaw and Bucharest.