We all know how big of an impact, companies can have on the world around us. ESG (Environmental, Social and Governance) reporting is a great way to assess this impact and traditionally, a few large organisations with budgets and resources to spare were the ones publishing these reports. However, the pressure to publish ESG reports is mounting on companies of all sizes and it can be difficult for smaller companies. This is where the UK-registered startup Diginex comes in, which aims to make ESG reporting more accessible and mainstream.
Funding to fuel AI-based SaaS products
Diginex’s offerings are certainly garnering interest as the startup has now raised £5.8 million in its Series A funding round. The funding was led by Fitch Ventures, which is the equity investment arm of Fitch Group. With this, the total amount of funds raised by the company is now over $8 million.
The startup will utilise these fresh funds to continue the development of its blockchain-enabled SaaS products. Diginex will also hire new talent as it currently employs over 100 people globally and will grow its team over the coming months.
Shea Wallon, Managing Director at Fitch Ventures, says, “Fitch is the only credit rating agency with a comprehensive, systematic and credit-focused approach showing how ESG factors affect credit ratings. It’s through this lens that we are excited to back Diginex as the team drives the business forward to offer ESG reporting solutions that work for companies of all sizes.”
The company is also poised to develop its business further in the UK. In a conversation with UKTN, the company’s CEO Mark Blick says, “We will deepen our formal partnerships with organisations like the London Stock Exchange, further grow our UK based product and commercial teams, and continue to drive forward our mission of helping UK companies of all sizes meet the growing regulator, investor and consumer-driven requirements for timely and transparent ESG and sustainability reporting.”
ESG reporting for SMEs and mega-corporations alike
Before we understand what Diginex’s offering accomplishes, we need to understand what ESG reporting is. Currently, there’s a great emphasis on companies to be more transparent and forthcoming in terms of their sustainability and social practices. Various stakeholders such as customers, regulators, employees, investors, and NGOs want to evaluate a company’s impact on the world and ESG reporting can make this easier.
However, as mentioned earlier, creating ESG reports is currently common for mostly – large companies with enough budget to spare. DiginexESG is aimed at helping smaller companies create their own ESG analysis and reports in an accessible and affordable digital platform. It is a self-guided tool that is said to automate and facilitate the reporting process, which the startup claims can generate reports about six times faster than traditional methods.
It is also claimed to be the first ESG blockchain-enabled reporting tool, which is also certified by the GRI. This means a company using Diginex’s solutions should be able to record, report and verify its data with complete transparency and security. DiginexESG is already being used in 12 different markets including the US, UK, Luxembourg, Hong Kong, Singapore and Chile.
Microsoft, Coca-Cola, The Global Fund to End Modern Slavery, The World Economic Forum and the United Nations are some of the startups’ notable clients.
Joe Biden’s former senior advisor joins the board
Alongside funding, Diginex has also revealed that the former senior advisor to the current US president Joe Biden, and Hillary Clinton, Dr. Tomicah Tillemann has joined as a new board member.
Discussing his appointment Dr. Tomicah Tillemann states, “I am delighted to join the board of Diginex at a time when companies of all sizes are taking ownership of their environmental, social, and governance impact. Diginex’s technologies will help transform the way firms approach ESG issues, addressing challenges more quickly and generating significant dividends for society and the bottom line.”