Thursday, January 19, 2023
Three Hills Capital Partners cements commitment to sustainability with B Corp CertificationCompany News
Three Hills Capital Partners (“THCP”), the European mid-market preferred capital pioneer, is proud to announce that it has entered the league of B Corporation (“B Corp”) certified businesses. The firm joins a select group of companies reinventing business as a force for good by pursuing profit with purpose following the certification awarded to its holding company, Atypical Partner.
B Corp achievement indicates the highest verified standards of social and environmental performance, transparency, and accountability. The rigorous assessment process addresses the entirety of a business’ operations, requiring applicants to reach a score of 80 out of 210, providing evidence of socially and environmentally responsible practices across five areas. To date, only around 70 private equity firms are certified B Corps globally.
The certification journey drew efforts from across the company; as a self-evaluation tool it provided a baseline for improvements across the firm’s operations and policies, helping to position THCP and its holding company Atypical Partner as drivers of sustainable value for all stakeholders, not just shareholders. This culminated in an impressive B Impact Score of 126.1, placing the firm in the top performing B Corps within its segment. Notably, the firm outperformed the sector benchmark for Governance by over 160% and Environmental by 124%.
Marco Anatriello, Partner, noted: “As Chairman of our ESG Hub, I am extremely proud of this achievement. Having initiated the B Corp process in 2021, our priority for 2022 was to attain certification. Our score is testament to our commitment to ESG, which spans all areas of the business and its subsidiaries. In 2023, we are excited to put our practices into action with plans for a dedicated impact strategy designed to support and finance fast-growing sustainable business models.”
Stefanie Kneer, Head of ESG and Sustainability at Atypical Partner, said: “This achievement is the culmination of the long-term efforts of the entire Atypical Partner team and validates the genuine commitment the firm has made to building a sustainable future. For us, sustainability is a moral and economic imperative that drives competitive advantage. By undergoing the B Corp assessment, we can differentiate ourselves as not just a funding provider, but as an active driver of sustainable value creation at firm and portfolio-level.”
Having undergone certification, the firm will continue to encourage and guide its portfolio companies to embark on a similar journey. In December 2022, UK based portfolio company Recycling Lives was certified, ranking as one of the highest performing B Corps globally with a score of 137.9, a testament to the environmental and social commitment of its business model. Communication consultant SEC Newgate’s B Corp assessment is currently underway, with others due to follow.
Mauro Moretti, Founder and Chairman of THCP Investment Committee, commented: “Sustainability has been core to the fabric of our firm from day one. This is seen through the investments made by THCP, where 60% of deals to date have had a sustainability angle. It was a logical next step to have our efforts independently verified, validating our commitment to ESG at both the firm and portfolio level. Our plan is to continue to build on our B Corp learnings, becoming a force for good in the industry by inspiring our peers and partnering with likeminded entrepreneurs, as well as an impact-focused strategy in the making.”
Gerry Marshall, CEO of Recycling Lives, said: “THCP has been an invaluable resource and support in our continued progress towards the ambitious sustainability goals we set down together at the outset of our partnership. From the start, THCP has added value and insight around the ESG focus which is so integral to our business, and we’re pleased to see both THCP and Recycling Lives recognised as B Corps.”
Chris Turner, Executive Director of B Lab UK, said: “We are delighted to welcome Atypical Partner to the B Corp community. This is a movement of companies who are committed to changing how business operates and believe business really can be a force for good. We know that Atypical Partner are going to be a fantastic addition to the community and will continue driving the conversation forward in the investment industry.”
Full details of the firm’s B Corp profile and score can be viewed here.