What is Exit Due Diligence
ESG Exit Due Diligence ensures that sustainability considerations are integrated into the exit process. &BLOOM evaluates portfolio company performance on material ESG topics, identifies risks, and highlights opportunities to enhance value for potential acquirers.
Why this matters
Investors and acquirers increasingly consider ESG performance as a key factor in valuation. Exit due diligence ensures transparency, mitigates potential risks, and demonstrates responsible investment practices, supporting a successful transaction.
What you get
✓ Assessment of portfolio company ESG performance, including material topics and industry benchmarks.
✓ Identification of risks and opportunities relevant to potential buyers.
✓ Recommendations to address gaps and enhance value pre-exit.
✓ Documentation and insights to support negotiation and communication with acquirers.
✓ Guidance on portfolio-level ESG impact for reporting to stakeholders.
Who is this for
PE and VC firms preparing companies for sale or exit.
Funds needing to demonstrate ESG performance to prospective buyers.
Investment teams seeking to maximise value and mitigate risk at exit.
Prerequisities
Exit Due Diligence is most effective when a Responsible Investment Strategy and portfolio-level ESG reporting are already in place. Investors should have a clear understanding of the portfolio company’s material ESG topics, performance benchmarks, and prior actions taken to address ESG risks. This context allows us to provide actionable insights that enhance exit value, mitigate risks, and demonstrate the fund’s responsible investment approach to potential acquirers.
Frequently Asked Questions
Can ESG issues affect transaction value?
Yes, material ESG performance is increasingly a consideration in valuation.
Do you provide post-exit ESG recommendations?
Yes, where relevant to maintain sustainability performance for new owners.
Is this service relevant for early-stage portfolio companies?
Yes, we adjust scope to company maturity and industry context.