Beijing, April 8, 2022 - Hosen Capital (“Hosen”), a leading private equity firm focused on buyout and growth opportunities in the food and consumer sectors, today announced that it has become a signatory to the United Nations-supported Principles for Responsible Investment (PRI), underlining the firm’s commitment to incorporate environmental, social and governance (ESG) considerations into its investment process. By joining the leading global network of institutional investors committed to developing a more sustainable global financial system, Hosen will continue to proactively improve localized practice of responsible investment.
Launched in 2006 by the former UN Secretary-General, Kofi Annan, the PRI has become the world’s leading proponent of responsible investment, with the mission of achieving an economically efficient, sustainable global financial system focused on long-term value creation. Pushing forward the industrywide upgrade in sustainability has been one of the pain points in China’s food and consumer sectors that Hosen is dedicated to address. By joining the 4,900 plus existing signatories, Hosen will advance its existing ESG policy rooted in firm accountability and transparency, while pledging to align its investment decision-making and ownership practices to the aspirational ESG standards detailed in the PRI.
As an early adopter of the ESG principle for responsible investing, Hosen established and has continued to refine a comprehensive ESG framework since 2013. Integrating a full set of ESG performance standards into its investment process, Hosen has conducted ESG due diligence on all of its investments and proposed improvement plans to each of the portfolio companies. To continue evolving its ESG practices, Hosen has established an ESG committee to oversee ESG initiatives, provide training to investment professionals and coordinate efforts across the entire investment process.
Various forces, such as the COVID-19 pandemic and China's 30·60 decarbonization goal, have heightened awareness about sustainable operations and have fueled a wave of responsible investment that is increasingly becoming a mainstream phenomenon in China.
At Hosen, we have always believed in the impact of “business for good” and endeavored to integrate both social value and economic value, while using an ESG lens as an additional perspective for identifying risks and value creation opportunities.
Hosen not only integrates ESG factors in the firm’s operations and management, but also devotes itself to enabling the portfolio companies to achieve sustainable growth with forward-looking strategy, cutting-edge technology and an advanced evaluation system. Over the past few years, many of Hosen’s portfolio companies have stepped into industry-leading positions regarding ESG practices and grown as role models of sustainability in various fields of the food and consumption sectors.
Nan Luo, PRI Head of China, welcomed Hosen Capital:
"As a private equity firm focused on the Chinese consumer market, it is critical to incorporate environmental, social and governance considerations into the investment process. We also look forward to seeing more private equity firms practicing responsible investing, implementing active ownership, and facilitating portfolio companies to incorporate ESG factors for long-term value."
In the future, Hosen will leverage its differentiated strengths and work closely with the PRI with the shared vision of sustainability and common prosperity, which allows us to deliver superior returns to our investors and better fulfill our fiduciary obligation to all of our stakeholders.