Formica Capital releases Impact & Responsibility Report for 2022
June 27, 2023
Formica’s equivalence to a sustainability report highlights the responsibilities that Formica has in the shift to a sustainable society and the opportunities to make a positive impact. The report details Formica’s approach to impact and responsibility in the shift throughout investment activities, enabling support, operating processes and inspiring initiatives. This report is the first to include impact and responsibility results from key portfolio companies.
This release marks a new development, compared to the first report, as it is the first time that individual impact and responsibility metrics from Formica’s strategic holdings is included. Measuring impact is key to Formica’s perspective on how companies excel in the sustainability shift, making it natural for Formica to include and be transparent about it. In the report, one can, for example, read about Knowit’s percentage of projects that support key Sustainable Development Goals, the number of MW solar power installed by Ecokraft, individual EVs charged by ChargeNode and energy sources enabled from the ground by Rototec.
The report also further examines Formicas approach to investing with purpose and impact. Key elements are presented in the report. This includes Formica’s own developed screening process for impactful companies, the most recent Impactful Solutions Map and the latest description of the Formica Formula, Formica’s framework and process to support companies being better at Impact and Responsibility.
Formica is continuously building its reporting capabilities in parallel with the formation of its strategic portfolio. This report introduces Impact & Responsibility (I&R) reporting. Impact is measured with inspiration from IMP, Impact Management Project, and Responsibility KPIs is based on initial materiality assessments. Responsibility KPI reporting will be harmonized with the evolving requirements of the Corporate Sustainability Reporting Directive (CSRD) from the EU. A development Formica welcomes. The company also welcomes any feedback on the report regarding how to improve it.
Olof Cato, CEO Formica Capital:
“We are very excited to start truly measuring impact & responsibility with our companies. Impact is central to our view on financial value creation and measuring it is key to understanding what we bring to society. We always want to improve our positive impact to be able to create more value”
“We hope to inspire others by the clear distinction between responsibility and impact, which are both very important in the shift, but of different nature. Now we introduce impact measurement along with Responsibility KPIs, something we urge others to also do. A transparent baseline is key to anyone trying to see how they can further support the shift to a sustainable society”, says Tomas Haglund-Flemström, Head of Impact & Innovation at Formica Capital.
Read the full report here.
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About Formica Capital
Formica Capital is a Swedish investment company with a long-term ownership strategy. It is owned by the Olsson Eriksson family. Formica Capital creates value by being an active owner in profitable and long-term sustainable companies, that positively impacts society. Formica’s purpose is to invest with a purpose and its mission includes partnering with purpose-led management teams. www.formicacapital.se