Watershed and Novata Announce Partnership to Provide ESG Data Solution for Private Markets

The partnership will provide a holistic solution to help investors on the journey to decarbonizing their portfolios and meeting global ESG disclosure requirements.

To offer private investment firms a complete ESG solution, Watershed, the top enterprise climate platform, established a strategic alliance with Novata, the top ESG data management platform designed for private markets. Customers may take use of both Watershed's extensive climate experience and Novata's depth of ESG understanding thanks to the alliance.

Clients of Novata will have a solution to help meet disclosure standards and investor requests for ESG data transparency thanks to their partnership with Watershed, which offers investors a thorough view of their financed emissions, actionable pathways to net zero, and professional climate advisors. Thousands of businesses controlled by private equity, private credit, and venture capital firms use Novata's ESG data management platform.

"We are happy to work with Novata in partnership to support more investors as they begin the process of decarbonizing their portfolios. Private markets are essential for the climate transition, but there haven't been any rigorous, all-encompassing tools to help with this vital effort. Together, Watershed and Novata enable meaningful profit generation for all private investors and effective climate action", according to Taylor Francis, co-founder of Watershed.

According to Lorraine Spradley Wilson, Chief Impact Officer and Head of ESG at Novata, "We are very pleased to partner with Watershed to provide our shared customers with a holistic data solution that addresses both the breadth of the ESG data landscape and the complex process of collecting carbon accounting data all under one roof." "This relationship is a testament to executing on our aim of helping our customers efficiently fulfil ESG and carbon disclosure needs," the company stated.

With faster portfolio onboarding, Watershed Finance assesses financed emissions in only a few minutes. Then, clients can locate emissions hotspots, simulate decarbonization solutions, interact with their portfolio firms, and adhere to international disclosure standards. Customers of Watershed include Bain Capital, Thoma Bravo, Baillie Gifford, and other prestigious companies, with a combined total of more than $18 trillion in assets under management.

Customers of Novata can choose ESG criteria with ease, and the company offers easy data gathering, data insights, and analytics tools to help them make investment decisions. The Ford Foundation, Hamilton Lane, S&P Global, Omidyar Network, and more than a dozen private equity firms and pension funds joined together to launch Novata, a public benefit corporation.