Anthesis accelerates growth with international Net Zero deal

Anthesis, the fast-growing global sustainability specialist, has announced its second strategic deal this year with Netherlands-based consultancy, Climate Neutral Group, joining the Anthesis Group.

Climate Neutral Group is a Net Zero authority on emissions analysis and reduction, offsetting, and certification programmes. Headquartered in Utrecht, it has a team of 50 people and offices in Belgium and South Africa.

The deal enhances Anthesis’ status as the world’s largest independent sustainability consultancy with a team of 800 in 20 countries, supporting more than 2,600 clients across the world.

Climate Neutral Group has supported more than 3,000 businesses with Greenhouse Gas footprinting, reduction, and offsetting initiatives since it was established in 2002.

The deal – which follows Anthesis’ acquisition of Canadian agri-food consultancy Provision Coalition Inc earlier this month – strengthens Anthesis’ full-service Net Zero offering which goes from avoidance and reduction strategies to the provision of high-quality carbon offsetting, technology innovation, extensive project development and certification

In addition, the deal enables Anthesis to extend its international reach by adding a presence in the Benelux and South African markets.

Tristan Craddock, Impact Partner at Palatine, commented: “We’re delighted to see Anthesis Group continue its great start to 2022 with its second strategic M&A announcement of the year.  Climate Neutral Group adds complementary expertise in carbon offsetting and geographical reach to Anthesis’ capabilities to help it support the acceleration of the pace of change towards Net Zero at this critical time.

“Supporting Anthesis’ ability to deliver its mission by accelerating its reach in new markets and services through strategic and value-enhancing deals is a key element in our post-investment plan we are working closely with Anthesis’ leadership team to identify further transactions to complement its impressive organic growth.”

Stuart McLachlan, Anthesis Group’s CEO, said: “2021 set a new pace for change, with organisations and communities recognising the urgency and importance of the decisive decade. With Climate Neutral Group joining Anthesis, we can support our clients more comprehensively along their Net Zero journey by building on emissions avoidance and reduction efforts to applying climate finance for mitigation. Our alignment as B Corps is a strong indicator of our shared values and focus and I look forward to welcoming the whole team to Anthesis.”

Palatine, which has a decade-long track record in sustainability and was one of the first mid-market investors to launch a dedicated returns-focused Impact Fund, took a significant minority shareholding in Anthesis Group in 2021 to help it accelerate its growth at a time of urgent need for society to address the climate crisis.

Financial terms of the Climate Neutral Group deal were not announced. The transaction was supported by Investec.