Technology-focused investment bank S.C.E. Partners and global sustainability consulting firm Enzo Advisors announced today a strategic partnership aimed at bringing corporate ESG and sustainability initiatives together with effective financing structures.
Sustainable finance solutions, creating a link between the capital companies raise for investments and operations, and their sustainability efforts have rapidly gaining in popularity, as investors and financiers become increasingly aware of the impact of their activities. According to Enzo and S.C.E., as the sustainable finance market has grown, so have the regulations, resulting in more pressure for both corporations and investors to increase transparency regarding their sustainability targets.
Douglas Rogers, Founder of S.C.E. Partners said:
“ESG-linked institutional investing is currently the largest growth area in our business and is having a direct material impact on our clients, both public and private. A company’s ESG score and disclosure compliance are increasingly having an impact on the cost of capital and a company’s access to institutional investor support.”
Under the new partnership, S.C.E. and Enzo provide a comprehensive offering to help companies build their ESG roadmaps and align their sustainability goals and targets to optimizing their financing structures through the development of credible Sustainability Performance Targets (SPTs) and the appropriate ESG key performance indicators (KPIs), as well as conduct comparative cost benchmarking analysis across a variety of financing structures.
Using the Sustainability-Linked Loan Principles (SLLP) and Sustainability-Linked Bond Principles (SLBP) as initial guidelines, the partnership aims to help investors and companies navigate the complex and shifting regulatory landscape of sustainable finance by developing frameworks specific to financing structures.
Nidhi Chadda, Founder and CEO of Enzo Advisors, said:
“We are excited to partner with Douglas and the S.C.E. Partners team. Together, we will provide clients with the ability to determine the key sustainability KPIs best suited for their business that are credible, accurate, aligned with long-term targets, and linked to customized solutions to optimize financing and improve the overall cost of capital. Our holistic solution will meaningfully elevate a company’s sustainability profile and further drive accountability towards long-term goals.”