Environmental, Social and Governance
SEAF’s policy, for all of the investment funds it manages, is to ensure to the best of its abilities that investments under consideration are environmentally and socially sound and sustainable. Every reasonably justified effort will be made during the pre-investment due diligence process to identify possible adverse environmental consequences associated with each potential investment and to take them into careful consideration in the investment decision. Upon making an investment, SEAF’s Funds will continue, when appropriate, to monitor and mitigate the negative environmental effects of the Investee’s ongoing operations.
Environmental Management is valuable to both SEAF and SEAF portfolio companies for the following reasons:
- Improves ability to access capital (environmental and social monitoring is becoming a standard for international financial institutions);
- Improves perception of SEAF among host countries and donors;
- Reduces legal, operational and financial risks of SEAF investments;
- May improve access to markets with strong environmental regulations (for example the EU);
- Attractive to strategic investors (exit point of view);
- In line with SEAF’s social mission.