Environmental due diligence
Environmental due diligence
Other services
What is environmental due diligence?
Environmental due diligence is a systematic process that evaluates potential environmental hazards, liabilities, and regulatory compliance issues related to a business, property, or transaction. It helps businesses identify, understand, and mitigate environmental risks, enabling well-informed decisions, and reducing financial exposure.
DGE’s environmental due diligence teams have supported several recent site and facility assessments, helping buyers, investors, and owners with pre-empt risk and comply with stringent national and international standards.
Comprehensive and adapted across regions
DGE delivers environmental due diligence services tailored to comply with international standards (e.g., ASTM E1527-21, EBRD) and adapted to the local legal and environmental context across the Nordic and Baltic countries. Whether for property acquisition, site development, or corporate assessment, DGE ensures accurate, confidential, and thorough evaluations that empower strategic decision-making.
Partnering with DGE means gaining expert support to navigate complex environmental challenges, reduce risks, and enhance the value and sustainability of your investments.
Key steps in the due diligence process
- Reviewing findings and documentation: Examination of historical site data, previous reports, soil and groundwater studies, and regulatory agency records to establish environmental conditions and history.
- Site visits and stakeholder interviews: Conducting on-site inspections and discussions with property owners, regulators, and other stakeholders to gather comprehensive information and validate initial findings.
- Risk evaluation: Assessing the likelihood and severity of risks to human health, the environment, and business operations, guiding risk mitigation strategies.
- Cost assessment: Estimating potential expenses related to risk management and remediation to support sound investment and project decisions.
- Health and safety assessment (optional): Evaluating workplace and customer safety risks linked to the company’s operations.
- Regulatory compliance assessment: Ensuring adherence to applicable environmental laws and standards to avoid penalties and legal issues.
- Remediation strategies and recommendations: Providing actionable guidance and planning for environmental cleanup and risk reduction measures.
Why are due diligence services critical?
Environmental due diligence supports both buyers and sellers by clarifying environmental risks and responsibilities early in a transaction.
For buyers and investors, due diligence helps identify hidden environmental liabilities that could affect property values, operational licenses, or future remediation costs. It provides a solid basis for informed decision-making in mergers, acquisitions, refinancing, and property transactions.
For sellers and asset owners, due diligence supports transparency and risk management by identifying potential issues in advance, allowing them to be addressed proactively. This can reduce uncertainty, strengthen negotiating positions, and increase confidence among buyers, lenders, and authorities.
By keeping pace with evolving regulations and market expectations, environmental due diligence enhances trust, reduces transaction risk, and supports sustainable, compliant business operations for all parties involved.
Service contact:
Heikki Kalle
Hendrikson DGE (Estonia)
heikki.kalle@dge-group.eu
+372 502 5563