ESG
Investment Policy

Our Approach

Translink believes responsible investing is a cornerstone of delivering long-term value to not only our partners, but also to society. We aim to hold ourselves to the highest standards of ethical conduct and incorporates environmental, social, and governance ("ESG") concerns into our investment process and in everything we do.

Translink strongly encourages portfolio companies to engage with the ESG implications of their business activities. We will provide support in the assessment of the ESG status of the company, and where possible and appropriate, we will work with our portfolio companies to develop a toolkit to provide additional support on implementing best practices.

Where agreed, Translink will also provide direct resource in the form of services or financial commitments toward portfolio carbon balancing exercises during the first and second years of our ownership.

Alignment with UN Sustainable Development Goals (UNSDG)

Through this ESG Investment Policy (“Policy”), Translink strives to generally align its investments, where appropriate, with the United Nations Sustainable Development Goals ("UNSDG"). Specifically, Translink generally aligns its investment approach with the following UNSDGs

Additionally, Translink has mapped its Fund IV portfolio companies to the SDGs to demonstrate our commitment to impact and reiterated the range of our portfolio. It also broadened the team’s understanding of impact and solidified a common vocabulary.

Translink will continue to track investments against the SDGs, as the SDGs provide a common vocabulary to discuss the possible impact(s) of a portfolio company or potential investment, and help the firm align its considerations within a broader framework employed by industry peers. In addition to ongoing mapping, Translink may in the future work to quantify portfolio companies’ impact using the SDG indicators.

Engaging our Staff

To support the implementation of this Policy, Translink will enhance ESG management capacity among our investment professionals. Specifically, we will:

1. Support our portfolio companies on ESG matters;
2. Provide all our employees with this Policy and related ESG documentation;
3. Continue to build ESG awareness among our investment professionals by providing periodic ESG training; and
4. Engage experts, when relevant, to assess the ESG standing of target investments and portfolio companies.

Responsible Ownership

Translink will work with its portfolio companies, when relevant, to increase awareness of ESG issues, mitigate adverse impacts, and create value. Specifically, we will:

1. Distribute this Policy to all our active portfolio companies;
2. Provide direct resource in the form of services or financial commitments toward portfolio carbon balancing exercises during the first and second years of our ownership
3. Enhancing portfolio company management's awareness of ESG principles and related risks, opportunities, and considerations;
4. Reduce ESG risk that may impact the investment performance, when relevant;
5. Analyze opportunities to increase efficiency across our portfolio companies’ operations, when relevant;
6. Monitor cases of ESG incidents and help our portfolio companies resolve those matters; and
7. Support our portfolio companies and ensure adherence with applicable laws and regulations of the jurisdictions in which they operate with respect to environment, health and safety, labor relations, human rights, business practices, and governance.

Accountability and Transparency

Translink will create accountability within our firm and disclose its approach to and assessment of ESG issues to our LPs. Specifically, we will:

1. Allocate sufficient resources to support the commitments made in this Policy;
2. Integrate discussion of ESG issues, management activities, portfolio company performance, and communications internally and with our limited partners, when appropriate; and
3. Collect and track some relevant data from our portfolio companies.

Conclusion

We believe that effectively managing ESG can protect and create long-term value. We consider this Policy to be a living document that will be reviewed and updated periodically. Translink recognizes that industry ESG guidelines and the approach to managing ESG issues will continue to evolve over time. As such, we will periodically review this Policy to incorporate relevant changes. If you have any questions, please contact platform@translinkcapital.com.