In line with the Paris Agreement, CVC is committed to supporting the transition to a carbon-neutral global economy by 2050.
Climate change is a priority ESG issue for investors, and one that is becoming increasingly important for companies.
CVC is determined to contribute to the acceleration of the energy transition, and to take all necessary measures to anticipate the effects of this transition on its portfolio. The manager with $160 billion under management, selected in the Vintage Altaroc Odyssey 2023, is convinced that reducing its own greenhouse gas emissions and engaging in dialogue with the companies in its portfolio to encourage them to follow suit are not only essential for society and the planet, but also create long-term value for its companies and stakeholders.
Carbon targets aligned with the scientific knowledge of the Science Based Targets initiative (SBTi)
CVC has publicly defined greenhouse gas emission reduction targets with SBTi. These targets have been approved by the CVC Board of Directors, and validated by SBTi.
Scope 1 and 2 emissions : CVC is committed to reducing its absolute Scope 1 and 2 greenhouse gas emissions by 73% by 2030 compared with the reference year 2019.
Scope 3 targets for the portfolio: CVC is committed to obtaining SBTi validation for 40% of eligible companies in its Private Equity portfolio and listed equity investments by the amount of capital invested by 2027, and for all eligible companies in its Private Equity portfolio and listed equity investments by the amount of capital invested by 2035.
Operational emissions: as CVC explains, "our direct and indirect operational emissions (scope 1 and 2) result mainly from the use of our offices. We intend to reduce these emissions through the following actions:
- Purchase of renewable energies
- Electrification of our fleet
- Including energy efficiency in our new leasing contracts
Purchasing electricity from renewable sources has enabled us to significantly reduce our scope 2 emissions, and we intend to continue in this direction."
Graph 2
Emissions by portfolio companies
Emissions from the companies in its investment portfolio account for the vast majority of its greenhouse gas emissions. CVC therefore gives priority to decarbonizing its portfolio, particularly its Private Equity portfolio, which has the greatest exposure and over which it exerts the most influence.
"We have set up a structured support program for our portfolio companies to encourage them to measure their emissions, draw up concrete action plans to reduce these emissions, and define their own carbon targets in line with scientific knowledge," explains the manager.
