H&Z Management Consulting - Consulting with head, heart and hand
3/15/2023

ESG Due Diligence

Our approach is designed to enable you to quickly and easily assess the ESG risks associated with any potential transaction.

H&Z

We are pleased to present you our approach to ESG Due Diligence!

Are you tired of making costly mistakes in your M&A deals? 

Do you want to ensure a successful transaction while also prioritizing sustainability? 

Look no further than ESG Due Diligence.

 

We believe that: 

  • ESG factors can impact the valuation of companies but also create value during the holding period
  • Public pressure and reputational risks for investors and private equity funds are reinforcing the trend toward ESG
  • Increasing regulation and reporting requirements (e.g. EU taxonomy): „ESG is here to stay“

 

ESG Due Diligence, or the examination of a target company's Environmental, Social, and Governance performance, has become an essential component of M&A deals. It helps identify existing risks and contributes to a successful transaction. But it's not a simple task.

 

Existing sustainability standards and ratings are often too general and not specific enough to individual companies. That's why the definition of specific KPIs and expert knowledge are necessary.  Investors are taking notice of the importance of ESG Due Diligence.

 In fact, 94% of institutional investors examine sustainability aspects during their due diligence process, with 30% changing their investment decision based on their ESG analysis. And 54% of investors reduce the target price based on their sustainability analysis.  ESG Due Diligence is tailored to the specific requirements of a transaction and can be completed quickly with access to internal data. This ensures that target-specific ESG aspects are examined for their material impact on the deal.  

 

But ESG Due Diligence is not just beneficial for the transaction. It can also improve the overall sustainability strategy of a company, which can lead to increased business value.  At every stage of the M&A cycle, ESG factors play a role. From developing a comprehensive M&A strategy to conducting due diligence, to post-merger integration, ESG is an integral part of a successful transaction.  

Our approach is designed to enable you to quickly and easily assess the ESG risks associated with any potential transaction. But we do not only tick boxes. 

 

Our solution is designed to support your equity story with an actionable roadmap and tangible measures to create value through ESG during your holding period.

 

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Are you looking for the right partner to increase your confidence around ESG topics of a potential target?

Don't risk costly mistakes in your next M&A deal. 

Prioritize sustainability and ensure success with ESG Due Diligence.

Contact us today to learn more about our ESG Due Diligence services and how we can help you achieve your sustainability goals. 

Learn more about ESG due diligence expertise from H&Z

Our M&A Advisory team supported more than 100 transactions!


We look forward to working with you to identify risks and opportunities of your next investment!

Christof Sonderhauser

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Christoph Sonderhauser

Markus Contzen

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Markus Contzen

Sascha Tagliaferri

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Sascha Tagliaferri