| Invested through |
|
|---|---|
| Asset Classes | Listed equity & Corporate bonds |
| Impact strategy | Impact Equities and Bonds |
| ISIN code | XS2297177664 |
| Aligned with SDGs |
Essity is a leading global hygiene and health company dedicated to improving human well-being through products and solutions essential for everyday life. The name Essity stems from the words essentials and necessities. The group is a spin-off of the SCA Group (2017).
The company aims to create value for people and nature through a sustainable business model. Europe is Essity’s largest market. The company also holds strong positions in North America, Latin America and Asia. Essity has three main business divisions: Consumer Tissue (38% of sales), Personal Care (38%) and Professional Hygiene (24%).
It sells its products in approximately 150 countries under the leading global brands TENA and Tork (both ”billion-dollar brands”), and other strong brands, such as Jobst, Leukoplast, Libero, Libresse, Lotus, Nosotras, Saba, Tempo, Vinda (a leading Chinese consumer tissue ”billion-dollar brand” in which the group acquired a majority stake in 2013) and Zewa. It has about 46,000 employees and net sales in 2020 amounted to SEK 122 bln (EUR 11.6 bln). The headquarters are located in Stockholm, Sweden."
Investment rationale
Better hygiene and health are necessities for better lives. Through different projects the company aims to provide solutions that increase health and well-being. An example of such a project is the 'Essentials Initiative' in collaboration with the United Nations. It showcases new research, inspiring examples and possible solutions as well as the societal impacts that can be achieved if hygiene and health are prioritized in the decision-making processes of policy makers and caregivers, as well as private individuals. Besides, the group is targeting several emerging countries as key growth areas by focusing on solutions adapted to consumers with limited resources, thus magnifying the health impact.
The company also actively stimulates education and awareness about hygiene topics such as menstruation and incontinence, thereby contributing to dissipate taboos and stigmas. In 2018, it provided training in hygiene and health to more than 2.5 million children, women and men globally.
Essity is also committed to circularity, by minimizing its resource use and waste. The company runs multiple projects dedicated to recycling products and business model. Essity is a member of the Ellen MacArthur Foundation CE100. It aims to recycle and use 100% of its waste and bi-products by 2030 (vs. 60% today).