As a hands-on owner, Cevian creates value by driving improvements at its portfolio companies to increase long-term competitiveness and profitability in a sustainable way.
Cevian’s conviction is that there is no conflict between ”values” and ”value” – in fact in today’s world, they are fully symbiotic. ESG considerations impact companies’ business opportunities, revenues, costs, risks, employee engagement, societal attitudes and corporate valuations. The extent of this impact will increase over time.
Thus, Cevian advances ESG initiatives at its companies for two reasons:
ESG considerations are integrated into Cevian’s fundamental analyses to identify investment opportunities, value-creation potential and possible risks.
Cevian advances ESG initiatives to increase the long-term and sustainable value of its companies. ESG is a core part of Cevian’s value-creation toolkit (alongside its other value-creation tools, eg improvements to operations, corporate strategy/organizational structure and financial management).
On March 3, 2021, Cevian released a statement on incorporating ESG metrics into the senior management compensation plans for European public companies. That statement is available here.
Cevian is a signatory of the UN Principles of Responsible Investment. UN PRI is an independent world leading advocate for responsible investment with over 3,800 signatories managing over $120 trillion globally. The PRI’s mission is to promote a sustainable global financial system for long-term value creation which will reward responsible investment and benefit the environment and society as a whole. As a signatory, Cevian supports this mission and in doing so has committed to upholding the associated principles.