< PreviousESG BOOK 2023/2024 I CFNEWS DIGITAL PUBLICATIONS ESG BOOKDenise ODARO Managing Director, Head of ESG & Sustainability - Paris office esg.team@paipartners.com ESG TEAM 232, RUE DE RIVOLI 75001 PARIS www.paipartners.com AREAS OF EXPERTISE Private Equity PRIORITY VERTICAL SECTORS Food & Consumer Businesses Services General Industrials Healthcare INITIATIVES Principles for Responsible Investment (2010) Initiative Climat International (2015) British Private Equity & Venture Capital Association (2016) Invest Europe (2017) Level 20, France Invest (2018) Carbon Disclosure Project (2019) Private Equity Sustainable Markets Initiative’s Task Force (2020) ESG Data Convergence Initiative (2023) QUALITATIVE DESCRIPTION PAI PARTNERS PAI’s investment approach to build bigger and better businesses is underpin- ned by our ESG and sustainability efforts. Our vision includes using ESG as a lever for both portfolio value protection and value creation, through the miti- gation of ESG related risks and maximisation of sustainability related oppor- tunities. We are committed to promoting sustainable business amongst our manage- ment teams to deliver against ESG factors and make our portfolio companies more resilient and future proof. We believe future proofing businesses bring long-term value to our Limited Partners, our portfolio companies, their clients and customers, the communities in which we operate and to PAI. There are three core pillars of our responsible investment approach: Systematically assess ESG risks and opportunities pre-acquisition, embed ESG in the value creation process throughout ownership and ensure readiness for a successful exit. Monitor and measure the ESG performance of our portfolio companies, engage for improvement and regularly report for transparency to stakeholders. Build and maintain momentum on sustainability in the PE industry by keeping an active presence in global networks and industry groups and events. Read more in our Responsible Investment Policy https://www.paipartners.com/responsibility/esg-reports/ SEE THE ENTIRE TEAM *As of 30/06/2023 READ THE 2022/2023 VERSION DOWNLOAD THE FILE c. €26bn * ASSETS UNDER MANAGEMENT Penelope GUARNAY Director, ESG Team Paris office esg.team@paipartners.com ESG BOOK 2023/2024 I CFNEWS DIGITAL PUBLICATIONS ESG BOOKESG GOVERNANCE CLIMATE SOCIAL c.160 PAI Partners’ employees ESG AND CLIMATE COMMITTEE GENDER DIVERSITY EMPLOYEES PAI PARTNERS ESG BOOK 2023/2024 ARTICLE 6 FUNDS Is ESG systematically integrated throughout all stages of the Investment journey, from pre-acquisition, during ownership, all the way to exit? Is the ESG Team partcipating in all Investment Committees? Is the firm’s ESG strategy and developments monitored internally by a dedicated body or group ? Is the percentage of sustainable assets held in the portfolio measured? Are you committed to a Net Zero trajectory for yourself and your portfolio holdings? Do you assess the carbon footprint of your holdings, including scope 3 ? Are you implementing value sharing schemes within your holdings? ASSETS UNDER MANAGEMENT *As of 30/06/2023 PAI Flagship/ Large Cap Funds PAI Mid-market Funds PAI Continuation Funds Co-Investments bn 26 * c.€ 18 PAI professionals across the firm’s Sustainability Committee, Decarbonisation Committee and ESG Team PAI has established a taskforce dedicated to identifying feasible options to place PAI and our portfolio companies on a decarbonisation trajectory. PAI Partners uses several frameworks to assess the ESG maturity of its portfolio, including: Our proprietary framework: PAI annually col- lects data on more than 180 ESG indicators from each company which has been in the portfolio for more than a year. The collected indicators cover the ESG Data Convergence initiative (EDCi) template indicators (PAI joined the EDCi in May 2023) as well as 12 out of 14 of the Principal Adverse Impacts indicators. We then report on the ESG performance of our portfolio companies in PAl’s annual Sustainabi- lity Report. On a case-by-case basis, depending on the portfolio company and its industry, PAI uses a variety of frameworks to establish the most comprehensive understanding of our portfolio’s maturity, including the TCFD guidelines, the UN Global Compact and the Science Based Targets. For all deals, PAI systema- tically considers the oppor- tunity to integrate sustai- nability within financing arrangements between deal signing to closing. The feasibility and attractiveness of sustainability-linked financing depends largely on the maturity of the company (i.e., whether a sustainability strategy is in place from which the KPIs can be based, whether the company has sufficient resources to pursue the targets). KPIs are always based on material topics to the company. To date, portfolio companies across our funds have set a variety of schemes, including: • « Fonds Commun de Placement d’entreprise » (FCPE) • « Intéressement » schemes • « Participation » schemes • Employee Benefit Trusts (EBTs) 3 % 3 % 73 Women throughout the firm 46 % 11 % PAI closely monitors and reports on the ESG maturity and performance of its portfolio companies PAI occasionally supports its portfolio companies as they implement value sharing mechanisms. How often are Sustainability Linked Loans implemented on operations? OCCASIONALLY ARTICLE 8 1 FUND PAI Partners VIIIESG BOOK 2023/2024 I CFNEWS DIGITAL PUBLICATIONS ESG BOOKJacques PANCRAZI Partner Guillaume PEROZ Partner ESG TEAM 41, AVENUE DE FRIEDLAND 75008 PARIS www.qualium-investissement.com AREAS OF EXPERTISE LBO PRIORITY VERTICAL SECTORS All sectors INITIATIVES PRI (2010) iCI (2021) France Invest QUALITATIVE DESCRIPTION QUALIUM INVESTISSEMENT Qualium Investissement firmly believes that taking sustainability into consi- deration throughout the investment cycle, and supporting portfolio compa- nies help create value for all stakeholders (shareholders, management and employees of portfolio companies, clients and suppliers) thanks in large part to: Thirteen years ago Qualium introduced systematic ESG due diligence for all new investments to prevent risks and identify areas for improvement. Post- acquisition, ESG issues are monitored every year by collecting data and an analysis is carried out by an external agency. This gives rise to an annual dis- cussion with management and enables an improvement plan to be drawn up. The results are compared with the Sustainability Accounting Standards Board benchmark to ensure their relevance. Qualium is therefore committed to ensuring that all new investments make progress on ESG issues. In terms of reducing its carbon footprint, the management company has been assessed (scope 1, 2 and 3) since 2014, and portfolio companies have been assessed since 2021, covering the entire value chain. In terms of value sharing, in 2023 Qualium has put in place its first mechanism linked to the Loi Pacte, a piece of 2019 legislation aimed at encouraging entre- preneurship and innovation in French businesses. Better risk management (management of the supply chain, reputational risk, labour conflicts), Optimised cost management (reduced consumption of energy and raw materials, increased productivity, less turnover), Development of products or services meeting specific environmental or social needs. jacques.pancrazi@qualium-invest.com +33 (0)1 81 80 47 43 guillaume.peroz@qualium-invest.com +33 (0)1 81 80 47 15 *as of Dec 31, 2022 € 1Bn * ASSETS UNDER MANAGEMENT READ THE 2022/2023 VERSION DOWNLOAD THE FILE SEE THE ENTIRE TEAMESG BOOK 2023/2024 I CFNEWS DIGITAL PUBLICATIONS ESG BOOKESG GOVERNANCE 19 People ESG AND CLIMATE COMMITTEE EMPLOYEES 3 Members 0 Woman in the management team 3 Women in the investment team QUALIUM INVESTISSEMENT ESG BOOK 2023/2024 16 % COMEX MEMBERS Integrating ESG objectives into the variable remuneration of investment teams? Is the ESG manager a member of the Investment Committee? Integrating ESG objectives into the remuneration of portfolio managers? Is the percentage of sustainable assets held in the portfolio measured? CLIMATE Are you committed to a Net Zero trajectory for yourself and your portfolio holdings? Do you assess the carbon footprint of your holdings, including scope 3? ARTICLE 8 1 FUND with sustainable asset share commitment Qualium Fund III ASSETS UNDER MANAGEMENT *as of Dec 31, 2022 Bn 1 * € SOCIAL Are you implementing the France Invest value-sharing scheme within your holdings? SYSTEMATICMAJORITYOCCASIONAL NEVERESG BOOK 2023/2024 I CFNEWS DIGITAL PUBLICATIONS ESG BOOKServane METZGER-CORRIGOU Chief Impact Officer Marie-Gabrielle SORIN Operating partner Sustainability & Impact ESG TEAM servane.metzger@ringcp.com + 33 (0)7 66 37 43 54 mgs@ringcp.com + 33 (0)6 10 57 62 39 *as of Dec 31, 2023 QUALITATIVE DESCRIPTION RING CAPITAL At Ring Capital, we consider that impact companies are companies whose main activity corresponds to a solution to a major environmental or social challenge. To bring impact at scale, they fully align impact with business performance. We make a clear difference between impact and ESG. We target an average of 50% of portfolio companies with a major environmental impact (and thus 50% of portfolio companies with social impact). Since we invest only in impact companies, we have built a strong and proprietary methodology to assess the impact potential of the dealflow companies we consider, which relies on 4 main impact criteria: Impact potential; Management intentionality; Impact additionality; Impact measurement. Our strategy relies on the definition, approval and monitoring of impact KPIs. This impact due diligence is completed with additional analysis: assessment of ESG criteria, impact strategy and carbon footprint together with an exclusion policy regarding certain sectors and practices. We align financial and extra-financial performance since 50% of our carried interest and part of the management incentives are determined by the achievement of extra-financial objectives. At Ring’s level, we have an Impact Advisory Board dedicated to sustainability and impact, with 4 independent members, which challenges our overall ESG and impact strategy. For instance, we have invested in Castalie, which provides a sustainable alternative to plastic bottles with a wide range of solutions for companies of all sizes and the HoReCa sector. We have built an impact measurement system based on 2 main impact KPIs : number of PET plastic bottles avoided, tons of CO 2 avoided due to transportation. In 2021, 24.302.000 bottles were non produced thanks to Castalie and 4.203 tons of CO 2 were avoided. AREAS OF EXPERTISE Cap-dev Growth Impact Venture Seed Philanthropie PRIORITY VERTICAL SECTORS Agro-alimentaire Énergie Éducation Climat Inclusion Économie circulaire Santé Industrie Consumer goods All sectors INITIATIVES PRI (2020) ICI (2019) B-Corp (2023) Tech Your Place (2022) 2 RUE FAVART 75002 PARIS www.ringcp.com ASSETS UNDER MANAGEMENT € 360M * DOWNLOAD THE FILEESG BOOK 2023/2024 I CFNEWS DIGITAL PUBLICATIONS ESG BOOKincluding Article 6 historical fund holdings ESG GOVERNANCE ESG TEAMLEADING TEAM EMPLOYEES 5 Womens in investment teams 1 Woman partner Integrating ESG objectives into the variable remuneration of investment teams? Is the ESG manager a member of the Investment Committee? RING CAPITAL ESG BOOK 2023/2024 Integrating ESG objectives into the remuneration of portfolio managers? 11 % 50 % of the carried interest will be determined by the achievement of the objective based on the Impact KPI(s) 20 % of Employee Stock Ownership Plan is determined by the achievement of the objective based on the Impact KPI(s), and 20 % of the variable of the management (Executive Committee) is determined by the achievement of the objective based on the Impact KPI(s) Is the percentage of sustainable assets held in the portfolio measured? CLIMATE Are you committed to a Net Zero trajectory ? Do you assess the carbon footprint of your holdings, including scope 3? Carbon footprint by proxy for the portfolio. 2024 : detailed carbon footprint for each portfolio company, including a specific trajectory according to sector and activity. SOCIAL ARTICLE 6 1 FUND *as of Dec 31, 2023 ARTICLE 8 1 FUND 18 People 2 Members (one operating partner) 17 % 42 % Référentiel interne ET taxonomie cf. reporting d’impact et rapport d’impact 48 % ARTICLE 9 2 FUNDS Ring GENERATIONS by EDHEC seed I (Currently being raised) Ring Altitude Growth I 166 m€ Ring Altitude Growth II (Currently being raised) Ring Mission Venture Capital I 66 m€ ASSETS UNDER MANAGEMENT M 360 * € SYSTÉMATIC MAJORiTYOCCASIONALNEVER IDo you integrate social issues (diversity, mixed teams...) in your due diligence questionnaires for selecting managers? Systematic ESG & impact due diligence incorporating all relevant social issues, taking into account size and sector. Share of financed companies with a positive social impact: 12 companies out of 27 in portfolio 44 %ESG BOOK 2023/2024 I CFNEWS DIGITAL PUBLICATIONS ESG BOOKBérangère BARBE Partner, NewGen Strategy Maxime BAUDRY Partner, MidCap Strategy ESG TEAM esg@sagard.eu maxime.baudry@sagard.eu 49 - 51 AVENUE GEORGE V 75008 PARIS www.sagard.com AREAS OF EXPERTISE LBO PRIORITY VERTICAL SECTORS Agri-food Health Industry Business services Technology INITIATIVES PRI (2020) iCI (2017) France Invest’s gender equality charter (2020) QUALITATIVE DESCRIPTION SAGARD At Sagard, we believe in smart, responsible growth. We aspire to create jobs and fuel innovation with teams, investors and entrepreneurs of diverse pers- pectives, backgrounds, and identities. We can achieve this while caring for our people’s health, communities’ development, and environment. We also work to protect the value our companies and partners create. We believe that being active owners and integrating sustainability frameworks into our investment processes can help us accelerate the development of our portfolio companies, create long-term value, and build business resiliency. READ THE 2022/2023 VERSION DOWNLOAD THE FILE *as of June 30, 2023 € 2,5Bn * ASSETS UNDER MANAGEMENTESG BOOK 2023/2024 I CFNEWS DIGITAL PUBLICATIONS ESG BOOKIs the percentage of sustainable assets held in the portfolio measured? ESG GOVERNANCE CLIMATE 41 People ESG COMMITTEEEMPLOYEES Are you committed to a Net Zero trajectory for yourself and your portfolio holdings? Do you assess the carbon footprint of your holdings, including scope 3 ? Integrating ESG objectives into the variable remuneration of investment teams? Are the ESG managers members of the Investment Committees? SAGARD ESG BOOK 2023/2024 ARTICLE 8 2 FUNDS Integrating ESG objectives into the remuneration of portfolio managers? COMEX MEMBERS 4 Women 29 % Sagard 4 € 799,3M Sagard NewGen € 353,3M 3 Members 7 % European taxonomy Sagard determines its investments eligible for the Taxonomy. However, the information available to date does not allow us to provide an alignment percentage. ASSETS UNDER MANAGEMENT *as of June 30, 2023 Bn 2,5 * € SOCIAL Are you implementing the France Invest value-sharing scheme within your holdings? SYSTEMATICMAJORITYOCCASIONAL NEVERESG BOOK 2023/2024 I CFNEWS DIGITAL PUBLICATIONS ESG BOOKIsabelle DE CRÉMOUX CEO, ESG Committee Member Olivier MESPOULET Head of Business Development & ESG ESG TEAM 5-7 RUE DE MONTTESSUY 75007 PARIS www.seventure.fr *as of Dec 31, 2022 QUALITATIVE DESCRIPTION SEVENTURE PARTNERS At Seventure, we invest in disrupting companies improving their respective field. As an ethical venture capital company, we integrate environmental, so- cial, and governance (ESG) considerations into our investment decision-ma- king processes and we aim to generate both financial returns and positive impact. Our policy reflects our strong belief that the long-term success of our invest- ments is intertwined with the well-being of the planet and society at large. We recognize the urgent need to transition towards a more sustainable and low- carbon economy, and we actively seek investment opportunities that align with this vision. The Life Sciences team prioritizes the innovation in health benefits, healing devices and methods, reduction in the use of antibiotics and to avoid pharma- ceutical pollution. The Tech team invests with in solutions having eco-concep- tion, data and customer protection, service accessibility and digital sobriety. The Blue economy fund focuses on renewable energy, sustainable use of marine resources and bio-sourced products. Our Sport investment team sup- ports physical practice, nutrition, wellness, and accessibility for all. With rigorous due diligence, we seek to identify companies with strong ESG performance, robust sustainability practices, and the potential to generate positive impact in their respective industries. SEE THE ENTIRE TEAM ASSETS UNDER MANAGEMENT € 950M * AREAS OF EXPERTISE Growth Venture Co-Investment PRIORITY VERTICAL SECTORS Agro-alimentaire Health Animal Health Human Health Food Microbiome FinTech RetailTech Blue Economy Renewable energy Sport INITIATIVES PRI (2006) SBTI IGCC ICI (2020) Climate Action 100+ Charte France Invest (2017) UNEP FI Sustainable Blue Economy membership (2022) TCFD READ THE 2022/2023 VERSION READ THE ESG REPORT DOWNLOAD THE FILEESG BOOK 2023/2024 I CFNEWS DIGITAL PUBLICATIONS ESG BOOKIntegrating ESG objectives into the remuneration of portfolio managers? Integrating ESG objectives into the variable remuneration of investment teams? Is the ESG manager a member of the Investment Committee? Is the percentage of sustainable assets held in the portfolio measured? ESG GOVERNANCE CLIMATE SOCIAL 30 People ESG AND CLIMATE COMMITTEE COMEX MEMBERS EMPLOYEES 6 Members 1 Woman 20 Are you committed to a Net Zero trajectory for yourself and your portfolio holdings? Do you assess the carbon footprint of your holdings, including scope 3 ? Are you implementing the France Invest value-sharing scheme within your holdings? SYSTEMATICMAJORITYOCCASIONAL NEVER SEVENTURE PARTNERS ESG BOOK 2023/2024 ASSETS UNDER MANAGEMENT ARTICLE 6 5 FUNDS ARTICLE 8 1 FUND *as of Dec 31, 2022 M 950 * % Digital Opportunities Fund I Health for Life Capital I Health for Life Capital II Sport et Performance Capital AVF Digital Opportunities Fund II € ARTICLE 9 1 FUND Blue Forward Fund 20 %Next >