We created Summa Equity to solve Global Challenges

Summa Equity is a thematic investment firm defined by a purpose-driven team that has come together to invest in companies that address some of our global challenges.

 We focus on companies in industries supported by megatrends within  three themes: Resource Efficiency, Changing Demographics  and Tech-Enabled Business. Our investments across the three themes have the potential for long term sustainable outperformance because they address some of the social, environmental, and business challenges we need to solve as a society

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We created Summa Equity to solve Global Challenges

Summa Equity is a thematic investment firm defined by a purpose-driven team that has come together to invest in companies that address some of our global challenges.

 We focus on companies in industries supported by megatrends within  three themes: Resource Efficiency, Changing Demographics  and Tech-Enabled Business. Our investments across the three themes have the potential for long term sustainable outperformance because they address some of the social, environmental, and business challenges we need to solve as a society

Private Equity 4.0

Sustainable Investing.

The private equity industry is evolving. When the 1980s gave birth to the first wave of leveraged buyouts, PE firms created value primarily through financial engineering. This involved the use of high leverage in combination with large equity stakes to motivate managers charged mainly with taking costs out of mature businesses.

Then, in the 1990s, PE 2.0 was focused heavily on increasing operating efficiencies, accomplished often by bringing in proven CEOs from successful public companies. Starting in the 2000s, PE 3.0 saw the building of large financial institutions that continued to function as value-adding buyers, while responding to tough competition from both strategic and financial buyers by expanding into different asset classes and developing new areas of expertise.

Today, in a movement that we call Private Equity 4.0, a growing number of PE firms have been adding to their existing capabilities the effective management of impact on “externalities” and environmental, social, and governance (ESG) factors.

Summa Equity has turned its ESG principles and practices into a core competence, a source of competitive advantage that has enabled the firm to distinguish itself from its competitors and, in so doing, to bring about significant increases in efficiency and long-run value.

Learn more about Private Equity 4.0 in Journal of Applied Corporate Finance by Reynir Indahl and Hannah Jacobsen

Private Equity 4.0

Sustainable Investing.

The private equity industry is evolving. When the 1980s gave birth to the first wave of leveraged buyouts, PE firms created value primarily through financial engineering. This involved the use of high leverage in combination with large equity stakes to motivate managers charged mainly with taking costs out of mature businesses.

 Then, in the 1990s, PE 2.0 was focused heavily on increasing operating efficiencies, accomplished often by bringing in proven CEOs from successful public companies. Starting in the 2000s, PE 3.0 saw the building of large financial institutions that continued to function as value-adding buyers, while responding to tough competition from both strategic and financial buyers by expanding into different asset classes and developing new areas of expertise.

Today, in a movement that we call Private Equity 4.0, a growing number of PE firms have been adding to their existing capabilities the effective management of impact on “externalities” and environmental, social, and governance (ESG) factors.

Summa Equity has turned its ESG principles and practices into a core competence, a source of competitive advantage that has enabled the firm to distinguish itself from its competitors and, in so doing, to bring about significant increases in efficiency and long-run value.

Learn more about Private Equity 4.0 in Journal of Applied Corporate Finance by Reynir Indahl and Hannah Jacobsen

 

 

Summa is developing fast

It is encouraging to see  increased momentum among companies and investors to join us in solving the challenges that the world is facing. We closed our Fund II in 2019 with SEK 6.7 billion (c. EUR 630 million)  to invest to solve global challenges. From the time of inception and we closed our first fund in 2017 with commitments of SEK 4.7 billion (c. EUR 440 million), there has been a significant development  in the investment community. It recognizes that companies that incorporate solutions to ESG challenges, is no longer just a way to minimize risk, but is increasingly seen as a tool to create value. Companies will show stronger growth and returns. In short, these companies will be more future-proof.

We are honored and proud that Summa has been recognized  as an innovator, most recently by winning the ESG Award at  the Private Equity Awards 2019, one of the oldest and most  respected tributes in our industry. Summa Equity won for placing ESG considerations at the core of our investment model. We wish to co-create a way of thinking with our portfolio companies and together grow competence around the Sustainable Development Goals, the associated business  opportunities and how to measure impact. We believe that this will contribute to stronger long-term strategies, fuel  innovation and create a stronger sense of purpose.

SDG ALIGNED PORTFOLIO COMPANIES

2019
+6
13
2017
7

FUNDS RAISED (SEKbn PER FUND)

Fund 2
+38%
6.5
Fund 1
4.7

Summa is developing fast

It is encouraging to see  increased momentum among companies and investors to join us in solving the challenges that the world is facing. We  just closed our Fund II with SEK 6.5 billion (c. EUR 630 million)  to invest to solve global challenges. Although it has only been three years after the inception of the firm, and two years  since we closed Fund I with commitments of SEK 4.7 billion (c. EUR 440 million), there has been a significant development  in the investment community. It recognizes that companies  that incorporate solutions to ESG challenges, is no longer just a way to minimize risk, but is increasingly seen as a tool to create value. Companies will show stronger growth and  returns. In short, these companies will be more future-proof.

FUNDS RAISED (SEKbn PER FUND)

Fund 2
+38%
6.5
Fund 1
4.7

We are honored and proud that Summa has been recognized  as an innovator, most recently by winning the ESG Award at  the Private Equity Awards 2019, one of the oldest and most  respected tributes in our industry. Summa Equity won for placing ESG considerations at the core of our investment model. We wish to co-create a way of thinking with our  portfolio companies and together grow competence around  the Sustainable Development Goals, the associated business  opportunities and how to measure impact. We believe that  this will contribute to stronger long-term strategies, fuel  innovation and create a stronger sense of purpose.

Summa Equity at a Glance

*From 2018 Portfolio Report.

Summa Equity has focused on building the organization, while adding new companies into our portfolio and closing our second fund. This brings our total assets under management to above SEK 14bn. (Including co-investments). We are about to release our 2019 Portfolio Report and will update the data below accordingly.

PORTFOLIO REVENUE (SEKm)

2018
+22%
9,634
2018
7,889

CUMULATIVE FUNDS DEPLOYED (SEKbn)

2018
+79%
3.4
2017
1.9

GROWTH (PORTFOLIO REVENUE)

2018
-2%
22%
2017
24%

NO. OF EMPLOYEES

2018
+73%
19
2017
11

PERCENTAGE FEMALE

2018
-6%
36%
2017
45%

CARBON FOOTPRINT

2018
+3%
2,860
2017
2,780

Awards and Recognition

Our work has been internationally recognized. In 2019 we received two the Environmental, Social and Governance (ESG) awards for the best ESG private equity firm: the ESG award at the Private Equity Awards 2019, one of the oldest and most respected tributes in our industry, and the Best ESG PE Firm award in the 10th edition of the Private Equity Exchange & Awards 2019 in Paris. The Journal of Applied Corporate Finance published the article «Private Equity 4.0: Using ESG to Grow More Value With Less Risk»

Harvard Business School has a case study on Summa Equity which is taught to the MBA students, where Reynir Indahl, Christian Melby and Hannah Jacobsen also guest lecture. Professor Michael Porter and George Serafeim used Summa Equity in an example in their article “Where ESG Fails” and Summa Equity has been featured in the international media including in the Financial Times.

Summa Equity wins the Best ESG Private Equity Firm Award

27.11.2019, Paris – Today Summa Equity won the Best ESG Private Equity Firm Award at the 10th edition of the Private Equity Exchange & Awards 2019 in Paris. “I am proud of each and every one of our colleagues, and our portfolio companies, for winning this prize. It is great to see that our approach…

Learn more

Summa Equity wins ESG Award at the Private Equity Awards 2019

25.04.2019, London Summa Equity won the Environmental, Social and Governance (ESG) Award at the Private Equity Awards 2019 for incorporating the Sustainable Development Goal (SDG) framework in shaping the long-term strategy of its portfolio companies, measuring the effect and innovating to address the global challenges.   “We are honored to win the Environmental, Social and…

Learn more

Summa Equity wins the Best ESG Private Equity Firm Award

27.11.2019, Paris – Today Summa Equity won the Best ESG Private Equity Firm Award at the 10th edition of the Private Equity Exchange & Awards 2019 in Paris. “I am proud of each and every one of our colleagues, and our portfolio companies, for winning this prize. It is great to see that our approach...
Learn more

Summa Equity wins ESG Award at the Private Equity Awards 2019

25.04.2019, London Summa Equity won the Environmental, Social and Governance (ESG) Award at the Private Equity Awards 2019 for incorporating the Sustainable Development Goal (SDG) framework in shaping the long-term strategy of its portfolio companies, measuring the effect and innovating to address the global challenges.   “We are honored to win the Environmental, Social and...
Learn more