Release date: 11 August 2021
Embargoed until: Immediate release
CLS Holdings plc ("CLS")
Commits to becoming net zero carbon by 2030 as it announces its 2030 Sustainability Strategy
CLS today announces that it has committed to becoming net zero carbon by 2030 as part of its comprehensive 2030 Sustainability Strategy published this morning. The wide-ranging strategy underpins CLS's purpose to transform office properties into sustainable, modern places that help businesses grow.
CLS's new strategy has three key pillars: having a positive environmental impact, creating shared value and being a responsible business.
As part of its commitment to having a positive environmental impact, the business has set out a clear and costed plan to achieve net zero by 2030, which includes a Science Based Targets initiative (SBTi) verified absolute Scopes 1 & 2 emissions reduction target of 42% and a 20% physical intensity reduction in scope 3 emissions. It is estimated that the investment needed to deliver the pathway totals £58 million over 9 years.
CLS's focus on creating shared value centres around supporting and engaging collaboratively with its tenants and local communities. By 2025, CLS will publish the Social Value of its business in the Group's annual report. This will outline its investments in local communities as well as the support it is providing to disadvantaged groups and charitable causes. As part of the design and management of its properties, CLS has committed to promoting the health, wellbeing and satisfaction of its tenants as measured through its annual tenant satisfaction surveys. In addition, CLS will achieve Living Wage Foundation accreditation by 2025.
CLS's commitment to being a responsible business encompasses its approach to governance, transparency and the management of the business and its finances. In addition to investing in the wellbeing and mental health of its employees through multidisciplinary health and wellness programs, and training and individual development budgets, CLS has set a target of 50% of its debt to be comprised of ESG-linked loans by integrating sustainability into its investment and financing strategies.
The Group will also promote the ethical procurement of goods and services across its business with an enhanced Responsible Procurement Policy as well as committing to the prompt payment code, whereby 95% of invoices from SMEs are paid within 30 days.
Full details of the new strategy can be found on the following link: https://www.clsholdings.com/sustainability
Fredrik Widlund, Chief Executive Officer of CLS, commented:
"The IPCC's report this week brought into sharp relief the scale of the challenge ahead of us and reinforced the importance of this new strategy. All stakeholders which interact with our business require us to take a bold action on carbon reduction as well as on broader ESG issues. The plan announced today shows a clear pathway to net zero carbon by 2030.
"Beyond emissions, we take our roles as a landlord and an employer incredibly seriously. Today's plan looks to enhance the value we create, not only for our shareholders but for all of our stakeholders. The plan will inform all of our activities, from how we engage with local communities to how we support our employees and finance the business. I'm hugely grateful to our team that worked so hard over the past year to get this plan in place, and we look forward to executing it over the coming years."
For further information, please contact:
CLS Holdings plc
Fredrik Widlund, Chief Executive Officer
Andrew Kirkman, Chief Financial Officer
+44 (0)20 7582 7766
Liberum Capital Limited
+44 (0)20 3100 2222
+44 (0)20 7886 2733
Elm Square Advisers Limited
+44 (0)20 7823 3695
Edelman Smithfield (Financial PR)
+44 (0)20 3047 2546