Environmental, social, and governance (ESG) risk is often overlooked as a trendy buzzword to attract investors and gain support. However, assessing ESG factors in acquisition targets and third parties is essential in a full-scale due diligence risk assessment. There are sensitivities within various industries and cultures that are addressed in ESG risk assessments, which unveil potential legal and reputational problems. Being aware of what these are can help you identify where there is ESG risk, but also where ESG opportunity lies.
Understanding ESG risk associated with acquisition targets and third parties not only assists in preventing ESG regulation violations, but also identifies opportunities to get ahead and stand out as a leader in your given industry. TDI’s tailored approach to ESG due diligence exposes typical industry shortcomings and areas to focus on providing valuable insight into the market and competitors. To find out more about our work, read ESG Impact Case Study.
During this pivotal time, it is important to stay informed and ahead. Crafting your ESG strategy can be overwhelming and requires dedicated time for research. Our analysts have extensive knowledge on current regulations and industry focused ESG issues. Schedule a consultation with TDI to get started on your ESG journey.