ImpactAlpha, Oct. 3 – Ratings by the Montreal and Paris-based impak emphasize the impact of a company’s products and services, not just how it operates. That shift from an ESG-based analysis of inputs to an impact-oriented assessment of a company’s outputs, as shown by its revenue mix, is increasingly central to how investors are valuing a company’s social and environmental potential.
European financial services company Societe Generale and impact tech fund Altalurra Ventures invested in company, which raised €4.5 million ($4.4 million).
ImpactAlpha partnered earlier with impak on a series of “corporate impact face-offs,” using impak’s rating methodology in head-to-head assessments of two companies in the same sector. The face-offs included Crédit Agricole and BNP Paribas, Nestlé vs. Danone, Engie vs. Enel and Novartis vs Sanofi.
ESG to impact
The banking and advisory division of Societe Generale has adopted ‘impak Ratings’ to analyze the environmental and social impacts of its major corporate clients.
“Having a good understanding of our clients’ environmental and social issues is essential in supporting them with their sustainability roadmap,” said Societe Generale’s Pierre Palmieri. Almost two-dozen clients use impak’s impact analysis methodology.
Impak’s Paul Allard says the partnership with Societe Generale “shows the acceleration of the financial sector’s transformation towards responsible and positive impact finance.”