ESG And M&A Transactions

Introduction

ESG, which stands for Environmental, Social, and Governance, refers to three critical variables that are used to assess a company's sustainability and ethical impact. It has received a lot of attention in recent years from both investors and customers to the point that it has become a common business jargon. ESG indicators assist in evaluating an organization's capacity to retain customers, employees, and bring about growth opportunities. ESG considerations have become a key check box in shareholder meetings while considering potential M&A transactions. In the upcoming years, this concept is expected to grow rapidly, as more and more organizations step forward to integrate ESG norms in their system as a way to generate future value.