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

Watershed, the leading enterprise climate platform, announced a strategic partnership with Novata, the leading ESG data management platform built for private markets, to provide private investment firms with a comprehensive ESG solution. The partnership enables customers to benefit from both Watershed’s deep climate expertise and Novata’s breadth of ESG knowledge.

By partnering with Watershed, which gives investors a comprehensive view of their financed emissions, actionable pathways to net zero, and expert climate advisors, Novata clients will have a solution to help satisfy disclosure requirements and investor requests for ESG data transparency. Novata’s ESG data management platform serves thousands of companies owned by private equity, private credit, and venture capital companies.

“We are thrilled to partner with Novata to help more investors start the journey to decarbonize their portfolios. Private markets are key to the climate transition but have lacked rigorous, comprehensive tools to support this critical work. Together, Watershed and Novata enable effective climate action and substantive value creation for all private investors,” said Watershed co-founder Taylor Francis.

See related article: Novata Launches Framework to Support ESG Integrated Disclosure Project

“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, as well as the intricate process of collecting carbon accounting data all under one roof,” said Lorraine Spradley Wilson, Chief Impact Officer and Head of ESG at Novata. ”We are committed to helping our customers seamlessly fulfill ESG and carbon disclosure requests, and this partnership is a testament to executing on that mission.”

Watershed Finance analyzes financed emissions in minutes, with streamlined portfolio onboarding. Clients can then identify emissions hotspots, model decarbonization strategies, engage their portfolio companies, and meet global disclosure requirements. Watershed’s customers — totaling more than $18 trillion in assets under management — include Bain Capital, Thoma Bravo, Baillie Gifford, and other leading firms.

Novata provides customers with a clear on-ramp for selecting ESG metrics, painless data collection, and data insights and analytics tools to inform investment decisions. Novata is a public benefit corporation formed by the Ford Foundation, Hamilton Lane, S&P Global, Omidyar Network, and more than a dozen private equity firms and pension funds.