Green deals: The role of sustainability in M&A

What a global pandemic is teaching us about potential for sustainable M&A

Whitepaper front cover
whitepaper

Provided by

Sterling logo

FREE DOWNLOAD

COVID-19, global lockdowns, and the resultant economic downturn are changing how we do business. The emergency stop executed by the global economy has also slashed pollution and CO2 emissions. Businesses and governments are questioning over-extended global supply chains.

Even once the current crisis is over, we can expect some kind of ‘new normal’ in place, nudging the world closer to a more sustainable future. The pre-existing high profile of the climate crisis, plastic pollution and sustainable work practices is certain to come into sharp focus in 2021 and beyond.

Sustainability will become a critical part of M&A in the future. It could reshape regulation and how business risk is viewed. We see this having a major impact in three areas: 

  • Businesses that can demonstrate good sustainability practices will be worth more. Customers will be more loyal, and companies will command a premium for products and services and face lower regulatory costs.
  • Data showing sustainable practices will lower the risk for buyers – giving them confidence on everything from environmental liabilities to possible PR nightmares – potentially boosting multiples.
  • And the M&A process itself will benefit from becoming more sustainable. Optimised use of technology rather than travel to undertake negotiations and due diligence, for example, will make deals both more sustainable and efficient.

.

Recommended

What does a CISO do?
Careers & training

What does a CISO do?

6 Sep 2021
CTO job description: What does a CTO do?
Business strategy

CTO job description: What does a CTO do?

26 Aug 2021
Pharma transactions during the COVID-19 pandemic
Whitepaper

Pharma transactions during the COVID-19 pandemic

23 Aug 2021
Renewable energy: What works and what's on the way?
Whitepaper

Renewable energy: What works and what's on the way?

23 Aug 2021

Most Popular

Zoom: From pandemic upstart to hybrid work giant
video conferencing

Zoom: From pandemic upstart to hybrid work giant

14 Sep 2021
What are the pros and cons of AI?
machine learning

What are the pros and cons of AI?

8 Sep 2021
Google takes down map showing homes of 111,000 Guntrader customers
data breaches

Google takes down map showing homes of 111,000 Guntrader customers

2 Sep 2021
Intuit plans end-to-end SMB platform after $12 billion Mailchimp acquisition
mergers and acquisitions

Intuit plans end-to-end SMB platform after $12 billion Mailchimp acquisition

14 Sep 2021