The sustainable finance classification system entered into force on 12 July 2020, providing a framework for other green initiatives.
By Paul A. Davies and Michael D. Green
On 12 July 2020, the EU’s regulation on the establishment of a framework to facilitate sustainable investment (the Taxonomy Regulation) entered into force, after several years of planning and deliberation. The EU Commission (the Commission) initially proposed an action plan on financing sustainable growth in March 2018. Action 1 of the plan called for the establishment of an EU classification system for sustainable activities (the Taxonomy). Subsequently, in May 2018, the Commission proposed the Taxonomy Regulation, as reported on in a previous blog post.
On June 19, 2020, the Equator Principles Association (EPA) issued 
The COVID-19 pandemic continues to present unprecedented challenges for European private equity firms and their portfolio companies. A significant number of companies have been forced to undertake emergency liquidity measures, make difficult decisions to ensure the health and safety of their workforce, and pivot their business models, all whilst trying
On 11 June 2020, private equity firm EQT announced that it has entered into an environmental, social, and governance–linked fund-level subscription credit facility (SCF) with an upper limit of around €5 billion
The economic impact of COVID-19 has required unprecedented state intervention and support for companies and individuals in countries around the world. Now, certain climate policy advisors and advocates are calling for climate change policy to be integrated into such support.
As reported by a number of German newspapers and the environmental press, a dispute between the US proxy advisory firm Institutional Shareholder Services (ISS) and the German industrial image processing company Isra Vision came to a rapid conclusion before the Regional Court of Munich when ISS withdrew its objection against a preliminary injunction. As a result, the relevant ESG rating concerning Isra Vision was not published.
On 6 March 2020, the UK’s Financial Conduct Authority (FCA) launched a consultation primarily focused on enhancing requirements on certain listed companies to make climate-related disclosures (the Consultation). In particular, it is proposed under the Consultation that such listed companies will be required to state that they have reported in line with the recommendations made by the Taskforce on Climate-related Financial Disclosures (TCFD) or explain why they have not complied with such step. This demonstrates further momentum behind the increasingly widespread adoption of the TCFD recommendations in the public markets (as well as the private markets).