EthiFinance and ESG Book have announced a transaction to create one of Europe’s largest independent credit and sustainability rating agencies, aiming to challenge the dominance of US-based incumbents.
Operating under the EthiFinance brand, the newly unified entity brings together complementary data, ratings, and analytics. The combination establishes a scaled European player capable of providing both sustainability and credit ratings to financial institutions and corporate issuers globally.
The merger comes at a critical juncture for the sustainable finance sector. Despite facing regulatory and political headwinds, the market has demonstrated notable resilience, driven by an escalating demand for high-quality, auditable sustainability information and risk models across both public and private asset classes. Leaders of the unified firm argue that as global sustainability regulations are rewritten, Europe requires homegrown champions to support regional institutions competing on the international stage.
The combined group features a workforce of more than 300 experts positioned across Europe, the United States, India, and Japan. It serves over 500 clients, blending European small and mid-cap specialist knowledge with a global coverage network of more than 10,000 companies, which extends to 76,000 for specific datasets.
Carol Sirou, Chief Executive of EthiFinance, described the merger as a defining moment for sustainable finance, noting that the combination creates an ideal platform to meet the needs of a fast-moving market through robust European infrastructure with global reach.
Justin Fitzpatrick, Chief Executive of ESG Book, added that financial institutions and corporate issuers face an increasingly complex regulatory environment and fierce global competition. He emphasised that the combined company is perfectly positioned to support the market’s shift towards data-driven materiality, particularly by filling critical data gaps within private markets.
The integrated product suite will offer end-to-end solutions, including ESG and credit ratings, portfolio analytics, and regulatory reporting, delivered via a unified global technology platform. The firm will also focus on advanced quantitative modelling to better link financial and non-financial risk analysis.
