Norvestor
Climate Impact & Sustainability Data (2019, 2020, 2022, 2023)
Reporting Period: 2019
Environmental Metrics
ESG Focus Areas
- Climate change
- Diversity
- Governance
- Employee well-being
- Data security & privacy
- Sustainable solutions
- Supply chain responsibility
Environmental Achievements
- 8% reduction in absolute CO2 intensity since 2018
- 84% increase in use of renewable energy (Norvestor VI and VII)
- 11% reduction in specific energy use since 2017 (Norvestor VI and VII)
- Portfolio-level carbon intensity fell by 8% in 2019
Social Achievements
- Increased the proportion of portfolio company boards with both genders represented from 13% to 74%
- Average absenteeism rate across portfolios was 2% in 2019 (significantly below national average)
- Mapped portfolio companies to the Sustainable Development Goals (SDGs)
Governance Achievements
- Completed integration of the recommendations from the Task Force on Climate-related Financial Disclosures (TCFD) into our ESG reporting framework
- Became a signatory to the UN Sustainable Ocean Principles
- Improved PRI ratings to an ‘A’ in both modules assessed
- Updated Responsible Investment policy to align with evolving best practice, including a clearer articulation of our commitment to the Paris Agreement
- Introduced an innovative data platform to manage sustainability information from portfolio companies
Climate Goals & Targets
- Net-zero carbon footprint (First Camp)
- 100% renewable energy for all clients by 2030 (VENI Energy)
- Net-zero carbon footprint (NoA)
- 100% renewable energy by 2025 (Wexus)
- Net-zero carbon footprint (Wexus)
- All sites procuring energy from sustainable sources (First Camp)
- 90% renewable energy for all clients by 2025 (VENI Energy)
- Reduce food waste by 20% (4Service)
- Reduce usage of plastic overshoes to 500,000 by 2021 (4Service)
Environmental Challenges
- Climate change
- Ocean health
- Supply chain disruptions
- Data security
- Maintaining a social license to operate
- High incidence of corruption in some operating regions
Mitigation Strategies
- Decarbonisation efforts guided by the Paris Agreement
- Monitoring portfolio companies’ exposure to climate risks
- Investing in businesses that are helping to speed up the transition to a low-carbon world
- Strict protocols in place to manage corruption risks
- Annual review and compliance checks of all agents
- Comprehensive governance policies for portfolio companies
- Employee satisfaction surveys
- Proactive measures to address employee concerns
- Promoting best practices among portfolio companies
- Use of video conferencing to reduce air travel
Supply Chain Management
Responsible Procurement
- Strict sourcing policy for materials, focusing on non-hazardous, bio-based chemicals (Presserv)
- Working with suppliers to reduce environmental footprint (Presserv)
Climate-Related Risks & Opportunities
Transition Risks
- Climate policy
- Carbon pricing
- Technological advances
- Changing investor and consumer sentiment
Opportunities
- Development of energy-efficient products and services
Reporting Standards
Frameworks Used: GRI, PRI, SASB, OECD Guidelines for Multinational Enterprises, TCFD
UN Sustainable Development Goals
- Goal 2
- Goal 7
- Goal 8
- Goal 9
- Goal 13
Portfolio companies' strategies are aligned with relevant SDGs, maximizing positive contributions to these goals.
Awards & Recognition
- NoA’s Digital Products and Services business unit won the Norwegian She Index 2020
Reporting Period: 2020
Environmental Metrics
ESG Focus Areas
- Climate change
- Diversity & Inclusion
- Governance
- Supply Chain Management
- Employee well-being
Environmental Achievements
- 18% reduction in carbon intensity since 2019
- 31% reduction in CO2 intensity since 2018
Social Achievements
- Increased the proportion of portfolio companies with one or more women on their board of directors from 13% in 2017 to 83% in 2020
- Average absenteeism rate across portfolios was 1.1% in 2020 (well below the national average)
Governance Achievements
- Improved the ESG data gathering platform to better manage sustainability information from portfolio companies
- Incorporated sustainability risk, climate risk (TCFD), and principle adverse impacts (SFDR) into ESG due diligence processes
- Introduced mandatory cybersecurity audit and taxonomy alignment assessment in due diligence
Climate Goals & Targets
- Net-zero emissions across portfolio
- Achieve 100% Green Key certification for First Camp campsites
- Reduce carbon intensity further, by establishing roadmaps to reach net-zero
Environmental Challenges
- Climate-related risks (transition and physical)
- Supply chain disruptions
- Data security
Mitigation Strategies
- Monitoring climate-related risks and capturing opportunities related to the energy transition
- Implementing ESG criteria in supplier audits and contracts
- Introducing mandatory cybersecurity audits
Supply Chain Management
Responsible Procurement
- ESG criteria incorporated into supplier selection and contracts
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather
Transition Risks
- Regulatory changes
- Market shifts
- Increased pricing of GHG emissions
Opportunities
- Energy transition
- Development of energy-efficient products and services
Reporting Standards
Frameworks Used: GRI, PRI, SASB, OECD Guidelines for Multinational Enterprises, TCFD
Certifications: ISO 9001, ISO 14001, ISO 45001, Green Key
UN Sustainable Development Goals
- SDG 7 (Affordable and clean energy)
- SDG 8 (Decent work and economic growth)
- SDG 9 (Industry, innovation, and infrastructure)
- SDG 12 (Responsible consumption and production)
- SDG 13 (Climate action)
- SDG 14 (Life below water)
Mapping of portfolio companies to relevant SDGs based on material ESG themes
Awards & Recognition
- 2020 Best Sustainable Equity Investor Nordics by CFI
Reporting Period: 2022
Environmental Metrics
ESG Focus Areas
- Climate change
- Diversity & Inclusion
- Governance
- Supply Chain Management
- Sustainable Development Goals (SDGs)
Environmental Achievements
- Conducted the first full Scope 3 carbon footprint assessment across all investments.
- Portfolio companies decreased their carbon footprint by 18% relative to revenue since 2019.
- Fund VII reduced its Scope 2 intensity by 82% since 2019.
Social Achievements
- Increased the number of female board members in portfolio companies to 24% in 2022.
- Decreased accident rates throughout the portfolio by 60% since 2019.
- Formally implemented a Diversity and Inclusion policy.
Governance Achievements
- Implemented a policy package offering portfolio companies templates for policies and procedures beyond regulatory compliance.
- Implemented 12 governance policies within the first 100 days of Norvestor ownership in portfolio companies.
Climate Goals & Targets
- Net zero emissions (4Service, Foxway, HydraWell)
- Become carbon neutral by 2030 (4Service)
- Achieve climate neutrality by 2035 (PHM)
- Achieve 90% renewable energy for VENI clients by 2027, 100% by 2030.
- Reduce carbon emissions across scopes 1, 2, and 3 (4Service, CIC)
- Achieve Green Key certifications for all First Camp campsites.
- Phase out fossil heating at at least three First Camp destinations.
Environmental Challenges
- Higher carbon footprint in 2022 due to acquisitions and broader emissions monitoring.
- Increased absenteeism after COVID-19.
- Data collection challenges across the portfolio due to high M&A activity (PHM).
Mitigation Strategies
- Employing digital tools for data collection and conducting in-depth workshops with portfolio companies.
- Supporting portfolio companies in implementing policies and practices to foster diverse and inclusive cultures.
- Integrating acquired companies into PHM's management system and common procurement process.
Supply Chain Management
Responsible Procurement
- Engaging with key suppliers on CO2e footprint, material sourcing, and working conditions (BST).
Climate-Related Risks & Opportunities
Physical Risks
- Rising air temperatures
- Changes in wind patterns
- Cyclones
Opportunities
- Development of energy-efficient products and services
Reporting Standards
Frameworks Used: GRI, SASB, OECD Guidelines for Multinational Enterprises, Impact Management Project, IRIS+
UN Sustainable Development Goals
- SDG 2
- SDG 3
- SDG 6
- SDG 7
- SDG 9
- SDG 12
- SDG 13
- SDG 14
- SDG 15
Portfolio companies' initiatives contribute to these goals through various activities, such as water conservation, renewable energy adoption, waste reduction, and sustainable product development.
Sustainable Products & Innovation
- Smartvatten's water monitoring solutions
- Foxway's circular tech services
- HydraWell's well deconstruction solutions
Awards & Recognition
- Best Sustainable Equity Investor Nordics (CFI, three consecutive years)
- Best Nordic LBO Fund (Private Equity Exchange Awards)
Reporting Period: 2023
Environmental Metrics
ESG Focus Areas
- Climate change
- Diversity & Inclusion
- Governance
- Social Sustainability
Environmental Achievements
- Achieved full Scope 1, 2 and 3 reporting for all portfolio companies
- Significant progress across the portfolio in preparing for new EU regulations on sustainability reporting
- 22% of the three funds’ portfolio is taxonomy-eligible, with 7.5% alignment.
Social Achievements
- 86% of portfolio companies’ boards have directors of different genders
- Implemented a new portfolio-wide ESG reporting platform
- Over 1,300 organic net new hires
- 4.5% absenteeism rate
Governance Achievements
- Closed Norvestor IX at its hard cap of EUR 1.5 billion
- Awarded Best Sustainable Equity Investor Nordics 2024 by CFI
- Awarded Best Nordic LBO Fund by Private Equity Exchange Awards
Climate Goals & Targets
- Net zero emissions by 2050 (Foxway)
- Reduce carbon emissions
- Reduce climate-related risks and capture opportunities
- Ensure a diverse and inclusive workforce
- Create safe and attractive workplaces
- Reduce non-compliance risk
- Transparency and reporting
- Identify positive contribution to SDGs
Environmental Challenges
- Increase in Scope 3 emissions due to expanded reporting scope
- Difficulty in comparing historical carbon data due to changes in reporting scope
- Potential for supply chain disruptions due to climate change
Mitigation Strategies
- Continuous measurement of climate-related risks and opportunities
- Implementation of a portfolio-wide ESG reporting platform
- Development of action plans to achieve EU Taxonomy alignment
Supply Chain Management
Climate-Related Risks & Opportunities
Physical Risks
- Extreme weather events
Transition Risks
- Regulatory changes
Opportunities
- Development of clean technologies
Reporting Standards
Frameworks Used: UN Principles for Responsible Investment (PRI), EU Taxonomy, CSRD, ESRS, SDGs
UN Sustainable Development Goals
- SDG 8.5
- SDG 12.6
- SDG 13.2
- SDG 13.3
- SDG 16.5
Norvestor supports portfolio companies in identifying how they can help achieve the UN’s global Sustainable Development Goals both by limiting their negative impact and by identifying and developing their positive impact.
Awards & Recognition
- Best Sustainable Equity Investor Nordics 2024 by CFI
- Best Nordic LBO Fund by Private Equity Exchange Awards