The ESG Status of Swedish Private Equity 2021 (Swedish Private Equity & Venture Capital Association (SVCA))

Summary

• SVCA member portfolio companies achieved a mean full-time equivalent (FTE) employment growth of 9% in 2020/2019 compared to 5% for all listed firms on Nasdaq OMX Stockholm.p.5
• Organic growth accounted for 65% of full-time equivalent employment growth in 2020 among private equity portfolio companies, while 35% was acquisition-driven.p.18
• Women represented 26% of management team positions in Swedish private equity portfolio companies in 2020, matching the 26% average for all companies on Nasdaq OMX Stockholm.p.21
• Women occupied 19% of board seats in private equity portfolio companies, compared to 33% across all Nasdaq OMX Stockholm companies and 28% for Small Cap companies.p.5
• An official anti-corruption policy was established in 83% of private equity portfolio companies, matching 81% for all Nasdaq OMX Stockholm firms and exceeding 57% for Small Cap firms.p.31
• Two-thirds (66%) of private equity portfolio companies maintained an official whistleblower channel in 2020, compared to 37% of Nasdaq OMX Stockholm Small Cap firms.p.32

Key insights

1. Middle-sized portfolio companies with 50 to 499 employees led job creation with a mean FTE growth rate of 11% in 2020/2019.p.17
2. Smaller portfolio companies with 0 to 49 employees demonstrated higher female representation in management teams at 34%.p.22
3. The study surveyed 108 Swedish portfolio companies reported by 13 participating SVCA member firms, representing a 46% participation rate among contacted members.p.9
4. Consumer products formed the largest single sector among surveyed portfolio companies at 29%, followed by industrial products and business services at 27%.p.10
5. Anti-corruption training was conducted by 44% of private equity portfolio companies.p.31