Forest

Responsible Investing

Limerston Capital sees Environmental, Social and Governance (ESG) considerations as proactive, positive forces for sustainable value creation. We look to influence corporate behaviour through the encouragement of responsible actions, in order to make our investments and portfolio companies more desirable and profitable.

Our principles

Our approach

As a responsible Investor we have set ourselves clear principles, which we look to apply to our investments:
 

  • Compliance – Our companies comply, as a minimum, with applicable local and international laws and regulations

  • Impact – We work with management teams to minimise adverse impacts and enhance positive effects on the environment and stakeholders

  • Value – We look to enhance the value of investments by applying ESG best practices

  • Standards – We look to apply relevant international best practice standards with appropriate targets and timetables

  • Systems – We employ management systems to address ESG risks and realise ESG opportunities as part of value creation

  • Reporting – We report on the implementation of ESG practices in our companies

Ahead of an acquisition.

We screen for compliance with laws, environmental and technical regulations; we look for alignment with best practice and the expectations of stakeholders; we assess governance, levels of transparency and communication. Where necessary we engage external advisers to support with independent assessment and plans mitigate the risks and enhance the opportunities.
 

During ownership.

We engage management and stakeholders to implement ESG plans. We work with the company to resolve legacy issues, increase diversity in the workforce and management team, improve operations supported on ESG considerations and increase resource efficiency. ESG and CSR considerations are reported and performance monitored.
 

On exit.

We leverage the work developed to take ESG concerns off the negotiating table and achieve a cleaner, higher value exit.

Case Studies

At Village Bakery our investment is supporting the creation of 115 new jobs in Wrexham, Wales. Village bakery has also invested £4 million into a new baking academy and innovation centre, which will continue training its apprentices.

 

Many of these young professionals started at entry-level bakery jobs and combine on-the-job experiences with college accreditations to create the next generation of bakers and leadership material for Village Bakery.

Village Bakery

At AdviserPlus we worked with the management team to accelerate the adoption of a virtual delivery of services and the dematerialization of workshop materials into interactive online workbooks.

 

This helped minimise carbon footprint by reducing office commute for 200+ workers and significantly reducing the use of printing and paper.

 

We have also championed the introduction of environmental considerations in AdviserPlus’ ethics policy.

Adviser Plus

At AFA International we set-up an entirely new governance structure. We appointed a group CEO, hired a CFO to rebuild the finance function, promoted individual company Managing Directors and worked with the new management team to create new governance rules and new reporting.

 

We have used this changes to promote diversity with female executives,  representing half of the senior management team.

AFA International