Climate Change Data

Environmental Metrics

ESG Focus Areas

• Climate Change
• Data Privacy, Data Security and Associated Human Rights
• Diversity, Equity and Inclusion (DEI)
• Foreign Corrupt Practices Act, Anti-Bribery and Anti-Corruption
• Workplace Health and Safety

Environmental Achievements

• Three portfolio companies on track for carbon neutrality by 2021 year-end
• Vertical Bridge, the largest privately held owner and operator of communications infrastructure in North America, is the first telecommunications tower company in the world to be certified as carbon neutral.

Social Achievements

• Launched a comprehensive Diversity, Equity and Inclusion initiative
• More than tripled the percentage of women on our investment team over the past three years.

Governance Achievements

• Transformed our leadership; 8 of 10 directors are independent; 50% of the Board of Directors are female and/or people of color
• Instituted stronger corporate governance practices and better aligned executive compensation with shareholders’ interests.

Climate Goals & Targets

Environmental Challenges

• Tackling climate change across a diverse portfolio of companies with varying levels of ESG maturity.
• Addressing diversity, equity, and inclusion challenges within the organization and across the portfolio.

Mitigation Strategies

• Set an aggressive goal to reach net zero emissions by 2030, aligning with the Science Based Targets Initiative (SBTi).
• Established a cross-functional Diversity, Equity and Inclusion (DEI) Steering Committee to develop and implement comprehensive DEI initiatives.

Supply Chain Management

Responsible Procurement

• Decarbonize supply chain through supplier collaboration

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: SASB, TCFD

Environmental Metrics

ESG Focus Areas

• Climate Change
• Diversity, Equity, and Inclusion (DEI)
• Governance
• Human Rights
• Data Security and Privacy

Environmental Achievements

• 3 portfolio companies achieved carbon neutrality (Beanfield, Scala, Vertical Bridge)
• Net Zero 2030 strategy launched with portfolio companies
• Many portfolio companies began their net-zero journey

Social Achievements

• Launched a Summer Analyst Program with 90% participants from underrepresented groups
• Hired three women from the Summer Analyst Program into full-time roles
• Adopted a formal DEI Policy
• Signed the ILPA Diversity in Action initiative and the CEO Action for Diversity and Inclusion Pledge
• Portfolio companies engaged in community philanthropy and employee volunteer programs

Governance Achievements

• Streamlined the Board of Directors to nine members, adding four independent directors
• Provided comprehensive ESG training for the Board
• Established quarterly ESG updates to the Board
• 100% of portfolio companies have dedicated ESG professionals
• Developed ESG expectations for portfolio companies, including Net Zero 2030 roadmaps and whistleblower hotlines

Climate Goals & Targets

Environmental Challenges

• Supply chain constraints
• Rising inflation and interest rates
• Achieving Net Zero 2030 across the portfolio

Mitigation Strategies

• Developed new strategies focused on digital infrastructure credit and core plus digital infrastructure
• Provided resources and support to portfolio companies to achieve Net Zero 2030 goals
• Partnered with industry experts and organizations to accelerate ESG initiatives

Supply Chain Management

Responsible Procurement

• Collaboration with suppliers to decarbonize supply chains

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather
• Flooding

Transition Risks

• Regulatory changes
• Market shifts

Opportunities

• Development of energy-efficient products and services

Reporting Standards

Frameworks Used: SASB, TCFD, PRI, UN SDGs

Certifications: ISO 27701, ISO 27001

UN Sustainable Development Goals

• Goal 7 (Affordable and Clean Energy)
• Goal 9 (Industry, Innovation, and Infrastructure)
• Goal 13 (Climate Action)

Initiatives contribute to these goals through renewable energy adoption, sustainable infrastructure development, and climate change mitigation efforts.

Awards & Recognition

• Northern Virginia Technology Council DEI Leadership Award
• Leading Allies of Data Centers & the Cloud Data Center Trailblazer Award for DEI
• HIRE Vets Gold Medallion Award (Boingo Wireless)

Environmental Metrics

ESG Focus Areas

• Climate Change
• Diversity, Equity and Inclusion (DEI)
• Foreign Corrupt Practices Act, Anti-Bribery and Anti-Corruption Programs
• Workplace Health and Safety
• Privacy and Data Security

Environmental Achievements

• Achieved carbon neutrality in 2022
• Updated net zero strategy in line with SBTi
• 3 portfolio companies achieved carbon neutrality

Social Achievements

• Adopted a DEI Policy with four focus areas (Mentorship, Internships, Recruitment, and Careers and Compensation)
• 83% of Summer Internship Program participants were from historically underrepresented groups
• 45% of new full-time employees hired in 2022 were female
• Launched inaugural Analyst Program with four analysts, all from the Internship Program

Governance Achievements

• Implemented enhanced data collection systems and disclosures to meet investor and regulatory expectations
• Provided comprehensive ESG training to the Board
• ESG-related KPIs are measured and reported quarterly to portfolio company boards and limited partners

Climate Goals & Targets

Environmental Challenges

• Rising regulatory and investor expectations around ESG issues
• Managing climate-related risks across a diverse portfolio
• Ensuring consistent ESG data collection from portfolio companies

Mitigation Strategies

• Implemented enhanced data collection systems and disclosures
• Provided ESG training and resources to portfolio companies
• Developed a revised net zero strategy aligned with SBTi

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Not disclosed

Climate-Related Risks & Opportunities

Physical Risks

• Not disclosed

Transition Risks

• Not disclosed

Opportunities

• Not disclosed

Reporting Standards

Frameworks Used: SASB, TCFD, PRI, GRI, GRESB

Certifications: CarbonNeutral Protocol

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed

Environmental Metrics

ESG Focus Areas

• Energy Management and Conservation
• Data Security and Privacy
• Ethics and Integrity
• Renewable Energy
• Climate Risk and Resiliency
• Diversity, Equity and Inclusion (DEI)
• Regulation and Disclosure
• Governance Body
• Service Disruptions and Resiliency
• Employee Health and Safety

Environmental Achievements

• Completed a formal materiality assessment
• Issued first portfolio company-level ESG performance report to limited partners
• Hired a full-time ESG analyst
• Developed an Environmental and Social Management System (ESMS)
• Conducted first fund-level estimate of Scope 1, Scope 2, and Scope 3 GHG emissions of portfolio companies
• Scala issued a $215 million green debenture to finance sustainable data centers in Brazil
• 100% of portfolio companies reported on biodiversity risk consideration in site selection, with 61% reporting consideration of biodiversity in site selection.
• DataBank designed data centers to consume no water for cooling (85% of facilities)

Social Achievements

• Strengthened senior management team
• Conducted DEI training for portfolio companies
• Developed ESG policies to guide company and employee behavior
• 100% of portfolio companies maintain a health and safety policy, 94% maintain an employee code of conduct, and 100% offer health and safety training to employees.
• Engaged in mentoring through Big Brothers Big Sisters of New York

Governance Achievements

• Provided quarterly ESG updates to the DigitalBridge Board
• Nominating and Corporate Governance Committee responsible for implementing and monitoring ESG program
• Updated Responsible Investment Policy
• Conducted an audit of ESG program
• Implemented an Environmental and Social Management System (ESMS)

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions due to climate events (implied)
• Meeting rising regulatory and investor expectations for ESG data reporting
• Managing and reducing carbon emissions to meet customer and investor demands
• Data center demand driven by AI requiring more energy
• Water risk, particularly in data centers
• Cybersecurity threats
• Compliance with evolving ESG disclosure regulations

Mitigation Strategies

• Developed alternative sourcing strategies (implied)
• Invested in tools and training for portfolio companies
• Focus on obtaining cost-effective, fixed-price, low-carbon power
• Collaboration with portfolio companies on cross-portfolio efficiency initiatives and renewable energy purchasing
• Developing an energy management and planning dashboard
• Encouraging portfolio companies to conduct water risk evaluations
• Implementing a Zero Trust cybersecurity strategy
• Engaging legal counsel to ensure compliance with SFDR
• Conducting an audit of the ESG program
• Implementing processes for validating ESG data completeness

Supply Chain Management

Supplier Audits: Not disclosed

Responsible Procurement

• Responsible Contractor Policy (template provided to portfolio companies)

Climate-Related Risks & Opportunities

Physical Risks

• Severe storms and other natural disasters

Transition Risks

• Impacts of U.S. and foreign climate- and ESG-related legislation
• Climate-related business trends
• Energy prices
• Insurance costs
• Value of investments linked to digital infrastructure assets
• New climate change-related regulations or interpretations of existing laws
• Increasing investor consideration for ESG factors
• Investor use of third-party benchmarks or scores to measure ESG practices
• Increased regulatory focus on ESG-related practices of investment managers
• Anti-ESG laws, regulations and sentiment

Opportunities

• Renewable energy sourcing
• Energy efficiency
• Competitive advantage through net-zero strategies

Reporting Standards

Frameworks Used: SASB Standards for Asset Management and Custody Activities, TCFD recommendations

Certifications: Null

Third-party Assurance: Not disclosed

UN Sustainable Development Goals

• Not disclosed

Not disclosed

Sustainable Products & Innovation

• Not disclosed

Awards & Recognition

• Not disclosed