Global management consulting firm McKinsey & Company announced the acquisition of strategic economics consultancy Vivid Economics, and climate analytics platform Planetrics, bolstering the firm’s sustainability and climate capabilities.

According to McKinsey, the acquisitions will bring expertise, analytics, and experience to the firm, helping clients assess climate and nature-related risk, develop environmentally and socially sustainable strategies, navigate large structural economic shifts, and create value through sustainable transformations.

McKinsey Senior Partner Dickon Pinner, said:

“While progress has been made, the majority of stakeholders are unprepared for the physical and financial impact to their businesses and to society. This acquisition will enable us to help clients across all sectors and geographies transform themselves to successfully navigate the risks and opportunities presented by the economy-wide transition to a more sustainable future.

“Vivid Economics and Planetrics are a passionate group of people, and together we share a common desire to positively impact business and society.”

Vivid Economics launched Planetrics in December 2020, aiming designed to enable financial institutions to quantify, report and manage climate-related risks and opportunities, down to the level of individual assets, using highly detailed analytics to model and price climate risk.

Jason Eis, CEO of Vivid Economics and Chairman of Planetrics, said:

“McKinsey has been a leading voice in sustainability and climate change. We are looking forward to combining our collective experience, technology, and our analytical and creative thinking in the pursuit of tackling such critical global challenges.”

Robin Smale, Director and Co-Founder of Vivid Economics, added:

“We are proud to be joining McKinsey to help clients create a sustainable future. This acquisition is a testament to the passion, courage, skill, and hard work of the Vivid Economics and Planetrics teams.”

McKinsey stated that the addition of Vivid Economics will accelerate the firm’s existing Sustainability and Risk & Resilience capabilities and talent, while the Planetrics suite will help its clients generate detailed company and business models that depict the impact of decarbonization and other moves related to climate risk.

McKinsey Senior Partner Cindy Levy, said:

“Embedding climate risk factors into every sector has now become an imperative. The financial impact of climate change is significant, and stakeholders need the latest intelligence on physical and transition climate risks to re-allocate capital and transform portfolios.”

The post McKinsey Bolsters Sustainability and Climate Capabilities with Acquisitions of Vivid Economics & Planetrics appeared first on ESG Today.