9fin featured content

Q-Park — ESG QuickTake (9fin) (8 Jan 2024)

TLDR: Q-Park, a parking management company based in the Netherlands, unlike its peers does not have environmental targets, however, it plans to set targets in its 2023 sustainability report. Although Q-Park states that it is well positioned for the increased opportunity associated with Electric Vehicles, it could do more to take advantage of the increased demand for EVs due to EU and UK regulations. Q-Park may be impacted by urban planning regulations aimed at reducing car use within European cities which in some cases will cut the number of parking spaces available and increase parking charges.

Cloud 9fin — What the collapse of Enviva and Inclusive means for ESG (9fin) (21 Dec 2023)

The collapse of wood pellet producer Enviva last month was swift and brutal. The story’s not over yet for all of the company’s investors but it is for at least one of them: Inclusive Capital. Jeff Ubben’s fund closed its doors around the same time that Enviva’s capital structure fell apart. What can the implosion of these two entities tell us about the state of ESG in America? Find out more on this episode of Cloud 9fin, where US managing editor Will Caiger-Smith and senior reporter Sasha Padbidri analyse these interlinked stories.

ESG Wrapped - 2023 (9fin) (22 Dec 2023)

This year has been one of highs and lows for ESG as HY sustainable bond and loan issuance lagged the record levels of 2021. Despite this, several key themes emerged as the sustainable finance market matures and regulators assess the sector with greater scrutiny. This 2023 Wrapped highlights some of the ESG team's favourite moments of the year, including snippets from conferences, podcast episodes, reporting blunders, and our most popular QuickTakes.

EU’s CSRD Update - Companies not ready for CSRD (9fin) (18 Dec 2023)

9fin’s latest educational outlines the mechanics of the Corporate Sustainability Reporting Directive (CSRD), its evolution, and its relationship with the Sustainable Finance Disclosure Regulation (SFDR). CSRD will come into force from January 2024, which means companies are required to first report in 2025. 

ESG within LevFin — Insights from issuer data vol. 3 (9fin) (14 Dec 2023)

In 9fin’s latest ESG data insights report, we build on our previous reports (vol. 2, vol. 1) and draw on new data insights gleaned from our ESG database. We analyse LevFin companies’ general preparedness for incoming reporting requirements; the EU deforestation regulation, the Corporate Sustainability Reporting Directive (CSRD) and the SFDR are all entering into force in 2024. In particular, we take a deeper look into companies with a higher exposure to nature-related risks and analyse whether they are reporting key biodiversity metrics. We also look into whether companies are on track to meet the external assurance requirements of the CSRD.

HY company news

Altice co-CEO Fonseca leaves after Portugal corruption probe (4 Jan 2024)

Alexandre Fonseca, who led Altice Portugal from 2017-2022, has left the group following an investigation into alleged corruption. A spokesperson at Altice Portugal said the group has ceased its employment contract with Fonseca including all executive and non executive positions he held. 

Endeavour Mining plunges after firing CEO for serious misconduct (5 Jan 2024)

Endeavour, a London based gold mining company, has terminated its relationship with CEO Sébastien de Montessus after an alleged irregular payment instruction of $5.9m related to an asset sale. The company also indicated the CEO was subject to an external investigation into his personal conduct following a whistleblower allegation in October. Following the announcement, Endeavour traded 12% lower on 5 January 2024. 

US Steel fined $2.2m for air emissions violation: the future of Clairton Coke Works (6 Jan 2024)

The US Health Department in Pennsylvania has issued a $2.2m fine for air emissions violations to US Steel. The violations, largely stemming from the company’s Clairton Coke Works facility, has been cited for 94 days of exceeding air emission standards by high levels. 

News

‘Polluter pays’ doctrine will take on new meaning (4 Jan 2024)

Plastic pollution is highly prevalent in sectors like food and fashion. However, plastic polluters will soon be required to pay for the environmental costs associated with the material as countries begin to develop plastic pollution regulations. The United Nations is also discussing a treaty to end plastic pollution to be finalised in 2024. However, according to the article, investors have yet to grasp the potential negative impact of a rise in waste management costs for companies. 

European ESG funds face fossil fuel showdown after French ruling (27 Dec 2023)

France has ruled that, from 2025, funds operating under its “socially responsible” ISR label will not be allowed to invest in any companies that launch new fossil fuel projects. Companies will also be unable to invest in coal projects. This rule could result in billions of euros in forced divestments throughout 2024. The existing 1,200 ISR labelled funds hold €7bn in traditional energy with 45% holding oil and gas stocks according to Morningstar. 

Sustainable finance: Council agrees negotiating mandate on ESG ratings (20 Dec 2023)

The European Council reached an agreement on regulating environmental, social, and governance (ESG) rating companies and the rule is intended to bolster the reliability of ESG ratings. Under the proposed rules, ESG ratings providers will need to be authorised by the European Securities and Markets Authority (ESMA) and comply with transparency requirements. 

Food industry calls for more time to implement EU deforestation rules (13 Dec 2023)

The European food industry has expressed concerns about their ability to comply with the European deforestation free products regulation which is expected to take effect at the end of 2024. Companies like Louis Dreyfus are calling for clearer guidelines and argue that significant investments are necessary to meet the rules requirements.