November 17, 2022 - Vindi Banga, CD&R Operating Partner who chairs the Firm’s ESG initiatives, addressed Private Equity International's Responsible Investment Forum in London, which reported more than 400 registered participants. Interviewed by Marc Lino, Global ESG leader of Bain & Company’s Private Equity practice, Mr. Banga made the case for moving quickly and with purpose to embed ESG into core business practices.
In his keynote interview, The long-term value creation case for ESG, Mr. Banga discussed his ESG journey throughout his 46-year career as a business leader and investor, including 33 years at Unilever where he served as executive board member and president of Global Foods, Home & Personal Care businesses and led the company’s sustainability agenda. He argued in favor of being transparent, explicit and focusing on the broader business impact of sustainability initiatives. “I believe that when you create sustainable value for your key stakeholders, your whole ecosystem benefits, and you create not only a positive impact on society but a stronger business,” he said. “As the market becomes increasingly sophisticated about ESG, I believe these accomplishments will only be more highly valued.”
Mr. Banga believes that private equity can serve as a powerful change engine for the economy by embedding ESG practices into the companies that it owns, which turn over approximately every 5 years. He cautioned against delaying ESG action due to imperfect data, stating “While it is important for ESG data to be verifiable, it is my view that it does not need to be perfect to add value. We believe that private capital is good at making sound judgments based on incomplete and imperfect data, and I believe that we cannot afford to wait to act on the significant ESG opportunity in front of us as an industry.”
Mr. Banga joined CD&R as an Operating Partner in 2010 and has played the lead operating role on CD&R’s investments in Diversey and Mauser Group and helped establish the Firm’s joint venture in India. He has been focused on ESG throughout his career and is a frequent speaker on the topic at industry events, including the World Economic Forum, the Lord Mayor’s Finance for Impact Summit, and the London Business School, among others.
About Clayton, Dubilier & Rice
Clayton, Dubilier & Rice is a private investment firm with a strategy predicated on building stronger, more profitable businesses across a broad range of industries, including Industrials, Healthcare, Consumer, Technology and Financial Services. Since its inception in 1978, CD&R has managed the investment of more than $40 billion in over 100 companies with an aggregate transaction value of more than $175 billion. Keep up CD&R’s its activities through LinkedIn and @CDRBuilds on Twitter. For more information about CD&R, please visit www.cdr-inc.com.