Environmental, Social, and Governance Policy

Openspace Capital believes implementing Environmental, Social, and Governance (“ESG”) investment principles is socially responsible and can also improve returns and mitigate risks in our investment portfolio. We believe this is particularly important in early- to mid-stage venture, where we can provide early inputs into a strong company foundation. As such, Openspace Capital has established an ESG Management System (“ESGMS”), comprised of this ESG Policy, ESG Exclusion List, and ESG Procedures, which forms an integral part of our investment process and ongoing portfolio management. We have also been a signatory to the UN Principles of Responsible Investment since 2021. 

Openspace Capital has an internal ESG committee as well as a dedicated ESG officer, who together work to ensure our Policy and practices are robust and up to date. We commit to embed the following ESG principles in our investment process: 

1. Communicate our ESG Policy to our staff, Limited Partners, target and portfolio companies, and interested parties. 
2. Continually build the capacity of our staff to identify and successfully manage ESG risks and opportunities in a robust fashion, including our Senior Management, Investment Team, Operations Team and other team members.  
3. Consider ESG risks and opportunities associated with target companies when evaluating whether to invest in a particular company or entity, as well as during the period of investment. 
4. Seek to grow and improve the companies in which we invest for long term sustainability; work with portfolio companies through representation on their boards or other governance structures, with the goal of improving performance and minimizing adverse impacts in ESG areas. 
5. Exclude from financing any company or entity whose business activities do not meet our principles and commitments. 
6. Ensure all target and portfolio companies are evaluated against, and are committed to compliance with the following “ESG requirements”: 
   
   1. Openspace Capital’s ESG Exclusion List. 
   2. National Environmental and Social Laws and Regulations, National Corporate Governance Laws and Regulations, and any standards established therein. 
   3. International Labour Organization (ILO) Core Labour Conventions, including the ILO Declaration on Fundamental Principles and Rights at Work.¹ 
   4. IFC’s E&S Performance Standards² and applicable World Bank Group Environmental, Health & Safety Guidelines.³ 
   5. JICA Guidelines for Environmental and Social Considerations⁴
   6. The Corporate Governance Development Framework⁵
   7. The Client Protection Principles, as defined by Cerise+SPTF⁶
   8. The relevant 2X⁷ Criteria and subsequent commitments.  
7. Respect the human rights of those affected by our investment activities and seek to ensure that our investments do not flow to companies that use child or forced labour or maintain discriminatory policies. 
8. Engage with relevant stakeholders, including members of adversely affected communities or civil society, either directly or through representatives of portfolio companies, as appropriate. 
9. Intentionally use our capital, capabilities, networks and knowledge to advance gender-smartinvesting and promote gender equity across three levels: our firm, our portfolio, and thebroader ecosystem. Across all levels, we are guided by the goal of fostering inclusive anddiverse leadership teams and increasing the representation of women in the private capitalecosystem. We pursue these outcomes to the best of our ability and influence. We align withthe 2X Criteria and commit to the following:
   
   1. At firm level: Build a gender-balanced team, especially in leadership, and institutionalize inclusive HR practices (e.g., care leave policies, GBVH prevention, and staff training); 
   2. At portfolio level: Screen for gender-related risks (e.g., GBVH) and opportunities during due diligence (e.g., DEI across different pillars like Entrepreneurship & ownership, Leadership, Employment, Supply chain, Products & Services). Actively engage portfolio companies and monitor and collect data post-investment, with the goal of aligning at least 50% of Openspace Growth II portfolio with the 2X Criteria by exit; 
   3. In our ecosystem engagement: Raise awareness, by sharing knowledge and learnings with partners, industry associations, and entrepreneurs through mentorship, reporting and events.

10. Offer publicly accessible, adequate and gender-smart internal and external grievance redress mechanisms for all stakeholders .
11. Ensure the management and the shareholders of each portfolio company understand our ESG Policy commitments and align their activities to those commitments as appropriate. 
12. Obtain ESG disclosures and performance metrics from our portfolio companies and encourage our portfolio companies and service providers to advance ESG principles consistent with our ESG Policy when they do business. 
13. Provide timely information to our Limited Partners and stakeholders on ESG matters. 
14. Review and report on the implementation of our ESGMS on an annual basis to ensure the continual improvement of our overall ESG performance. 

We furthermore commit to measuring and monitoring impact with our portfolio companies on portfolio-wide metrics including job creation and diversity, as well as other metrics relevant to specific companies. 

Openspace Capital also applies ESG principles to how we operate as a firm, including how we interact with our employees, suppliers, and stakeholders, as well as how we contribute to the wider community and protect the environment. Our internal ESG principles include commitments to effective governance structures, workforce diversity, inclusion and equity, and the regular evaluation of our own and our service providers' ESG performance. 

Effective Date: 08 July 2025  

[Note: The ESG Policy has been made publicly available on the Openspace Capital website since 22 June 2022.] 

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