Sustainability innovations continue to generate substantial investment potential. For example, investment funds have amassed more than $3 Trillion of assets under management to explore these opportunities. Moreover, these Sustainable Funds are outperforming more traditional funds. McKinsey research highlights powerful forces driving investments in areas like net-zero emissions (a target of completely negating the amount of greenhouse gas emissions) and the circular economy (re-use, reusable and recycling technology). A report from the Morgan Stanley Institute for Sustainable Investing recognized that sustainable funds in the first half of 2023 saw a median return of 6.9% versus 3.8% from traditional funds.
Our practice teams at Harbor View are working with clients in sustainable businesses to help raise capital or acquire assets to fuel their growth. Three recent examples include:
Complete Recycling Solutions (CRS), a leader in universal waste recycling, was acquired by TerraCycle. CRS provides solutions for mercury-containing fluorescent bulbs, batteries, ballasts, and electronic waste disposal. With their combined resources, they will have greater access to expand the reach of their platforms, expand their collective customer base and bring a broader range of services to the businesses they serve.
Invafresh, the industry leading fresh grocery platform with AI/ML-enhanced food waste reduction solutions, acquired Whywaste, a leading provider of end-of-life product solutions for grocery retailers and convenience stores. In collaboration, they help reduce food waste, maintain regulatory compliance, and increase profitability.
Vertical Harvest, an innovative indoor farming company with a hyper-local market strategy and strong dedication to social impact that confers a strong competitive advantage in their select markets, is seeking a large capital raise to expand operations in North America.
Our collaboration with our clients seamlessly aligns with our extensive experience in more traditional software and services sectors. Embracing a “digital mindset and capabilities” is vital for successfully commercializing green investments, which often involve significant physical assets. This includes:
Challenging the status quo: Effective leadership entails challenging conventional wisdom to quickly turn concepts into customer ready products.
Serial M&A proficiency: Serial mergers and acquisitions bring speed and reduced operational risks to innovation roadmaps.
Cost and carbon reduction velocity: Close collaboration with suppliers and partners can rapidly reduce costs and carbon emissions.
These collaborative efforts underscore Harbor View Advisors' commitment to fostering our clients’ sustainable and innovative ventures.
