Services for Issuers

Sustainability has become mainstream on the financial market. Transparency and reporting obligations of the European Union form an increasingly demanding regulatory framework. As a result, the sustainable use of funds and responsible business activities of issuers are moving more into focus. We are at your disposal with our expertise and, depending on the issuer and the type of planned issue, we provide Second Party Opinions for Green & Social Bonds, sustainability ratings of issuers, impact ratings to measure the quantitative impact of your business model or qualitative sustainability assessments of an investment project. With a suitable independent verification as an information basis for your issue, you can increase your credibility and arouse the interest of a growing circle of investors.

Second Party Opinions

Issuers can use a sustainable financial instrument, such as a green or social bond, to raise debt capital from investors for social or environmental projects. Not only do they have the opportunity to diversify their investor base, but they also gain access to an innovative financing on the debt capital market. Issuers need to make sure that revenues generated from the bond issuance are exclusively used for the eligible projects. To this end, the International Capital Market Association (ICMA) has defined process and transparency requirements in the Green Bond Principles, Social Bond Principles and Sustainability Bond Guidelines. An external verification (Second Party Opinion) helps issuers to create transparency in their sustainable bond issuance.

Second Party Opinions for Green/Social Bonds

  • Review of alignment with the Social Bond Principles, Green Bond Principles and Green Loan Principles
  • Analysis and evaluation of both the quality of the framework and the sustainability of the issuer
  • Additional verification according to Climate Bond Standard for Green Bonds on request
  • Option of continuous updating and post-issuance assessment of Green Bond/Social Bond reporting

Sustainability Rating on Demand

Sustainability is becoming an important topic, also in medium-sized companies. Investors, banks and lenders increasingly view a lack of addressing sustainability issues as a significant risk factor. Existing (international) ESG rating methods focus on large listed companies – therefore, imug | rating has come up with a sustainability rating especially made for medium-sized companies. A sustainability rating prepared by imug | rating supports a credible communication of corporate sustainability performance to the public, investors and business partners. As part of this external evaluation, the entire organization is assessed in the areas of sustainability management, products and services as well as controversies according to common industry standards. In addition, a sustainability rating can serve as a basis for innovative financial instruments such as sustainability-linked bonds and loans or ESG-linked promissory notes.

imug Sustainability Rating

  • imug | rating offers differently graded reports – to which extent the results are published is controlled by the issuer
  • The evaluation is carried out in the areas of sustainability management, products/services and controversies
  • Publication of results, e.g. as one-pager, rating grade or label – ongoing improvements can be documented in annual updates of the sustainability rating

Impact Ratings

A growing number of investors are turning their attention to impact investing. The aim is to create an added value in regard to the environment and/or the society by investing in companies, organizations and funds while generating an economic return. Measuring and evaluating the impact of the financed projects and business models in terms of their positive contribution to the global sustainability agenda, both quantitatively and qualitatively, is a major challenge. imug | rating supports this process with an impact rating in which an influence measurement is quantified and tested. For this purpose, imug uses the "Impact 360°" methodology. With the help of an impact rating, investors are given the opportunity to invest specifically in projects that have a high benefit for the society as a whole.

imug Impact 360° Measurement

  • Examination of the positive effect (impact) and active inclusion of potential conflicting objectives
  • Quantitative calculation of the positive contribution of a project to the global and local sustainability agenda
  • Publication of results as a sustainability report and award of a label

Expert opinions and certifications

Sustainability is also of increasing interest for investors and banks in regard to the issuance of small and medium-sized enterprises. In certain cases – e.g. still missing structures or incomplete data bases – a second party opinion, a sustainability rating or an impact measurement are not an option. In such cases, imug | rating provides support by preparing a sustainability assessment. This involves a qualitative approach to examining and evaluating the sustainability quality of companies and projects. Instead of assigning a rating grade, a summary assessment of the results is made (estimation/assessment).

imug Sustainability Assessment

  • Evaluation of sustainability management, products/services and any controversies
  • Sustainability assessment report available in English or German (6 pages)
  • Independent expert opinion for sustainable investor communication

References

Africa GreenTec

enercity

GLS Bank

Hylea Group

Investitionsbank des Landes Brandenburg

Landes-hauptstadt Hannover

Landes-hauptstadt München

SDG Investments

Sparkasse Hannover

VNG AG

Zug Estates