PORTFOLIO
%20Blue%20Text.png)
ESG & IMPACT
As a leading African infrastructure manager, Pembani Remgro Infrastructure Managers is committed to responsible investment. We integrate Environmental, Social, and Governance (ESG) factors into our investment and ownership processes to ensure the long-term sustainability of our investments and the positive impact they have on economies, society and the environment. This approach aligns with our fiduciary duty to deliver superior, risk-adjusted returns to our clients.
Our ESG and Impact Strategy
Our ESG and Impact Strategy is based on a deep understanding of the unique challenges Africa faces with regards to sustainable infrastructure development. This enables Pembani Remgro Infrastructure Managers to provide unique solutions to investing in private infrastructure developments across Africa that is both responsible and delivers a legacy of positive impact, whilst contributing to the global SDGs.
Our Approach to ESG and Impact
Responsible Investment
Pembani Remgro Infrastructure Managers recognises its responsibility in the investor landscape as a responsible corporate entity, which must go beyond simply generating financial returns for its shareholders and investors and manage its ESG risks and impacts in a responsible manner. We refer to this approach as ‘responsible investment’, or simply put – ‘DOING NO HARM’.
Pembani Remgro Infrastructure Managers has conducted an ESG Materiality assessment to identify and prioritise the most critical ESG and Impact topics for our business operations, our funds, and our stakeholders. The results were integrated into our ESG and Impact Strategy, and help us to focus our attention and resources, and ensure adequate measures are put in place to both manage risks, and capitalise on the opportunities identified.
Pembani Remgro Infrastructure Managers has also developed, implements and maintains an Environmental and Social Management System, a Business Integrity Management System, and a Safeguarding Management System which outlines how we identify, manage, monitor and report on our environmental and social and business integrity risks and impacts across our business operations and portfolio company investments, in alignment with applicable legal requirements and global standards and guidelines.
Investing for Impact
Pembani Remgro Infrastructure Managers recognises that together with our investors, we can deliver real value through our investments which leave a legacy of positive environmental and socio-economic impact. We refer to this approach as ‘investing for impact’, or simply put – ‘DOING GOOD’.
Pembani Remgro Infrastructure Managers has developed a theory of change which underpins our ESG and Impact Strategy and describes how we create value and deliver impact across our business operations and funds by understanding the cause-and-effect relationships between our inputs, our activities, the short-term outputs, the mid-term outcomes, and the longer-term impacts in alignment with the United Nations Sustainable Development Goals.
Pembani Remgro Infrastructure Managers also provides guidance and support to our portfolio companies to unlock opportunities for impact and ensure that they are appropriately supported in managing, monitoring, measuring, and reporting on impact initiatives.
Our ESG and Impact Framework
By utilising the principles of the six capitals framework as a means of framing and reporting on our ESG and Impact Strategy, we combined the outcomes of our Strategic Philosophy, our ESG Materiality Assessment, our Theory of Change and our Investors Key Performance Indicators into an integrated ESG and Impact Framework that enables us to manage, monitor, evaluate, report and communicate effectively on our ESG and Impact performance.
Our Approach to Business Integrity and Good Governance
Strong corporate governance and business integrity standards are critical to the success of any business. Minimising exposure to business integrity risks by building risk management capability helps businesses become more resilient and responsible.
Business Integrity is defined as regulatory and reputational risks that are present at companies, and specifically refers to an approach that recognises the business need to operate in a transparent and ethical way in order to be successful. A Business Integrity Management System is an integrated framework that covers key components of Business Integrity risk management, providing a structured, consistent and proportionate approach to assessing, managing and reporting operational and strategic Business Integrity risks at fund manager and portfolio company level.
Our Business Integrity Management System is split into two different levels: a fund level and portfolio company level. The main aim is firstly to ensure that good corporate governance systems are in place to address business integrity at a fund level, and secondly, to ensure that all portfolio companies have adequate controls in place to monitor and manage their business integrity risks.
Our Fund level Business Integrity Management System focusses on the following areas of risk which, if well managed, will enable the fund to deliver both financial returns and development impact: bribery, corruption and fraud; money laundering and terrorist financing; breaches of sanctions regimes; tax evasion and other criminal conduct; integrity and reputational risks; and data and cyber security, amongst others.
Global ESG and Impact Alignment
Pembani Remgro Infrastructure Managers is committed to implementing globally recognised ESG and Impact standards, guidelines, and principles which include (but are not limited to):
-
Applicable in-country laws and regulations
-
The IFC Performance Standards
-
The Equator Principles
-
The African Development Bank Group’s Integrated Safeguards System
-
The World Bank EHS Guidelines
-
The International Labor Organization Conventions
-
The United Nations Sustainable Development Goals
-
The 2X Challenge
-
The Black Ownership and Leadership for Development Initiative
-
The Global Impact Investing Networks - Operating Principles for Impact Management
"The best definition of a business I have heard of is that it is an institution which serves the community honorably at a profit."
Dr. Anton Rupert - 1990