ESG policy

ESG and sustainability risks policies*

As an investor in the Healthcare sector, integrating ESG considerations at the heart of our investment practices is a priority for Vivalto Partners. We believe this will guarantee the success of our ambition to support the sustainable growth of bold and innovative companies, and support them in their response to the health challenges of tomorrow.

Downloard our 2022 annual rapport

*The following statements are shared in accordance with Articles 3(1), 4(1)(b) and 5(1) of Regulation (EU) 2019/2088 (“Disclosure”).

A strategy in alignment with our values

Prior to acquisition, Vivalto Partners commits to reviewing and scanning target companies to ensure their alignment with both our values and ESG policy. While financial factors will remain the key drivers of the decision-making process, the potential identification of ESG risks will determine whether Vivalto Partners will move forward with investments. During the initial screening, Vivalto Partners ensures that target companies do not have activities in countries or sectors from Vivalto Partners’ exclusion list. As such, Vivalto Partners will not invest in countries under international sanctions or countries presenting high ESG risks nor in the following industries:

  • Illegal economic activities
  • Genetic modification and human cloning (activities deemed unethical by the EU)
  • Biological weapons or any other weapons and ammunitions
  • Medicines used for lethal purposes
  • Toxic products as regards to their impacts on the environment or on animals
  • Other industries involved in child labour, pornography and/or prostitution, manufacture or trade in tobacco or distilled alcoholic beverages and related products, operation of casinos or other gambling

An appropriate ESG governance at each portfolio company level

In addition, Vivalto Partners commits to systematically performing an assessment of the potential ESG risks of the target company taking into account key material ESG issues. This assessment aims at identifying whether there are any ESG red flags (i.e risks) associated with the target company.

Vivalto Partners is committed to guiding portfolio companies towards the improvement of their ESG maturity throughout the holding period, through a pragmatic and tailored approach. The enforcement of the ESG roadmap and its monitoring over time rests on an appropriate ESG governance at each portfolio company level, via

  • Identification of an ESG point of contact at portfolio company level
  • Inclusion of ESG topics at Board Level at least once a year

In addition, at Vivalto Partners we are committed to aligning portfolio companies with our own ethics standards, by asking them to adhere to and sign our Code of Ethics. We report to LPs both on our own ESG performance and on that of our portfolio companies on an annual basis through an annual report.

At Vivalto Partners we believe that a clear attention to ESG issues demonstrates a robust operational infrastructure and support a higher valuation of the outgoing business.
When planning for exit, Vivalto Partners will systematically assess progress achieved on ESG by the company under its ownership.

In addition, as previously indicated, Vivalto Partners has put in place appropriate ESG monitoring and reporting processes within the portfolio companies and the management company, enabling it to meet its ESG commitments, which take into account best market practice.

Vivalto’s ESG reporting notably covers the following themes:

Environment

Climate impact (greenhouse gas emissions), energy consumption, and water consumption

Social

Diversity, health and safety at work, profit sharing & social dialogue

Governance

The correct functioning of governance bodies, the identification of key ESG challenges, and the existence of a code of ethics

SFDR statement on the Principal Adverse Impacts

Vivalto Partners is committed to closely monitoring the main ESG risks and to tracking the ESG issues and performance of its investments throughout the investment period.

In addition, Vivalto Partners is committed to taking into account Principal Adverse Impacts (“PAIs”) within the meaning of Article 4(1) of the Disclosure Regulation. The 14 mandatory and 2 optional PAIs have been identified in accordance with regulatory requirements, and are monitored throughout the investment process.

Downloard our 2022 “PAI statement”

Downloard our “Article 10 Disclosure” report

Remuneration policy

As a regulated Alternative Investment Fund Manager (“AIFM”), Vivalto Partners remuneration policies are linked to its risk management and internal control policies. Vivalto Partners’ remuneration policies promote a sound and proportionate approach to risk-taking, including ESG and sustainability risks.