Sustainability
We embed ESG principles at every stage, ensuring each Teset Capital investment fosters community resilience, environmental stewardship, and long-term social value.
OUR GOVERNANCE
Contributing to
Sustainability Development
At Teset Capital, sustainability is not simply a box-ticking exercise — it is foundational to our long-term success and a key driver of value creation for both our business and the communities we serve. We believe that our impact should contribute to the sustainable development of the economy and the environment, and we are strongly committed to embedding ESG criteria in everything we do.
Investor Mindset
ESG Implementation
Continuous Growth
A Long-Term Investor Mindset
As a long-term investor, Teset Capital views ESG as an essential part of responsible stewardship. We incorporate environmental, social, and governance issues into our policies and practices, ensuring that investment analysis and decision-making processes meet the highest standards of ethical and operational integrity.
Collaborative ESG Implementation
Our dedication to ESG is collaborative. We actively work together with our team, partners, and portfolio companies to enhance our effectiveness in implementing measurable ESG improvements. Through this collective effort, we aim to shape projects that not only generate stable returns but also contribute positively to the well-being of local communities and the environment.
Core Areas of Focus
- Governance: Transparent operational oversight, accountable leadership, and rigorous regulatory compliance.
- Social Impact: Meaningful engagement with local stakeholders, ensuring that each project brings tangible community benefits and fosters inclusive growth.
- Environmental Stewardship: Setting robust targets for reduced environmental footprints, aligning with decarbonisation strategies, and supporting the circular economy.
Transparency + Continuous Growth
We maintain open, regular communication with our stakeholders through clear, actionable ESG reporting. By consistently tracking performance, we foster accountability and drive continuous improvement. We also encourage portfolio companies to follow our lead in adopting best-in-class ESG initiatives, reinforcing a culture of responsible business practices.
Teset Capital ESG Policy
Read more in depth about our approach to sustainable value creation, the policies underpinning our investment framework, and our ongoing commitment to improve ESG performance throughout our portfolio here.
OUR COMMITMENT TO TRANSPARENCY
Sustainability-Related
Disclosures
Teset Capital complies with the disclosure requirements set out in Regulation (EU) 2019/2088 on sustainability-related disclosures in the financial services sector (“SFDR”). This forms part of our broader commitment to transparency and responsible investment.
FAQS
Find Out More About Us
At Teset Capital, we integrate Environmental, Social, and Governance (ESG) factors into all aspects of our investment and management processes. We consider ESG principles essential for creating sustainable value and achieving strong long-term financial performance.
At Teset Capital, we use a proprietary ESG framework and a robust Risk Assessment Methodology (RAM) to evaluate ESG risks and opportunities throughout the investment lifecycle. Each investment is scored on ESG alignment and reviewed by our Investment Committee.
At Teset Capital, we do not invest in tobacco, weapons, gambling, coal mining, or other industries we deem harmful to society or the environment. This exclusion is a core part of our commitment to sustainable development.
At Teset Capital, our investments aim to contribute to eight specific SDGs, including clean energy, quality education, and sustainable cities. We assess alignment through a dedicated questionnaire and scoring system.
At Teset Capital, ESG responsibility is shared across several levels: our Board of Directors and Investment Committee oversee the ESG strategy, while our investment team manages ESG integration and monitoring. In addition, we have a dedicated ESG representative coordinating implementation efforts.
During our due diligence process at Teset Capital, we examine environmental impacts (such as emissions and waste), social factors (including labour practices and community relations), and governance issues (such as ethics and board diversity) using both qualitative and quantitative indicators.
After acquisition, we at Teset Capital encourage or require investee companies to establish ESG policies, measure performance against ESG KPIs, and report progress regularly. This ensures accountability and drives continuous improvement.
Yes, at Teset Capital we offer ESG training and resources to our teams to promote a consistent understanding and effective application of ESG principles in our work.
At Teset Capital, we review our ESG Policy every six months to ensure it reflects current practices, regulatory developments, and stakeholder expectations. All updates must be approved by our Board of Directors.
Currently, at Teset Capital we do not consider Principal Adverse Impacts (PAIs) at the entity level due to our size. However, we remain committed to responsible investment principles and to compliance with evolving EU regulations.