Responsible Investing with Lincolnshire Management
By: Lincolnshire Management
Tags: Impact Investing, Private Equity, Responsible Investment, Lincolnshire Management

Lincolnshire Management Committed to Responsible Investing

“Lincolnshire is committed to upholding the highest standards of corporate governance and Environmental, Social and Governance best practices. “

-TJ Maloney, Chairman and CEO of Lincolnshire Management

More than 30 Years of Responsible Investing

Even before implementing a formal written Environmental, Social and Governance (“ESG”) policy, Lincolnshire had adhered to strict internal guidelines which integrate environmental concerns, compliance with environmental laws, regulations and best corporate governance practices. For the past 32 years, these guidelines have been central to Lincolnshire’s due diligence process and the ongoing monitoring of our portfolio companies. We help our portfolio companies adopt best practices and expect them to follow these practices when managing their businesses.

Since our first fund, Lincolnshire has committed to responsible investing. We have invested in companies such as Desch Plantpak, a leading manufacturer of plastic containers for the greenhouse industry and an early convert to the use of recycled and bio-based polymers that pioneered efficient, sustainable manufacturing. We have applied the insights gained from working with Desch and other companies to build and apply similar practices to the operations of the other businesses in our portfolio. We firmly believe that when executed thoughtfully and consistently, responsible investing is a win for everyone involved, and our results have shown that to be true.

Our Commitment to ESG is A Commitment to Higher Returns

Lincolnshire believes that a key component of a sound investment program is a commitment to corporate governance that seeks the alignment of economic value with environmental benefits and positive social impact. Lincolnshire has clearly communicated our commitment to ESG and created a policy that reinforces what has been in practice at the firm over more than three decades of successful investing. ESG is a priority at Lincolnshire because we know from experience that a thriving business, in the U.S. or abroad, will be even more successful when there is a disciplined focus on ESG.

Lincolnshire has integrated the United Nations Principles for Responsible Investing (UNPRI) into the firm’s formal ESG policy. We invest according to our own ESG criteria and endorse the principles of the UNPRI.

Tailored ESG Improvements Throughout the Investment Process

ESG is a consideration throughout the investment process — during diligence, investment, holding and at exit. Under our ownership, ESG progress is tracked by both Lincolnshire and the portfolio company’s management team. Each portfolio company has an ESG officer who collaborates with Lincolnshire’s Sustainability Officer on ESG issues, and reports on the progress of implemented changes and the related financial impact. Lincolnshire prides itself on investing responsibly, working tirelessly to advance our portfolio, and eventually selling an improved company to the next owner.

A flexible approach to ESG allows portfolio company management teams and Lincolnshire to identify areas for improvement and to develop strategies to best implement change. Plans for ESG improvements are unique to each company’s business and industry. Some areas for improvement can include energy conservation, improving and creating a safer work environment, responsibly sourcing raw materials and recycling.

Lincolnshire’s Dedicated Team

Betsy Corbin is Lincolnshire’s dedicated Sustainability Officer, who is focused on upholding ESG best practices. Mrs. Corbin joined Lincolnshire Management in 2015 to support investor relations, develop marketing strategies, and leads the firm’s sustainability efforts. Mrs. Corbin led the development of Lincolnshire’s formal ESG policy and ensures that a joint effort between the Lincolnshire team and portfolio management teams guarantees ESG best practices and that these are shared and implemented across the firm’s portfolio.