AMDP PROPOSAL DRAFT

 To: Professor Clark Hansen, CEO, AMDP

From: Sophia Anders, Research and Development Analyst, AMDP

Date:March 5, 2024

Subject: Proposal to consider investment in Depop

Dear Mr. Hansen, 

After thorough research on potential investment opportunities aligning with our values here at Anima Mundi Development Partners’ (AMDP) to promote social responsibility, environment sustainability, as well as profitability.  I propose that AMDP invest in Depop, a company devoted to deterring the rise of fast fashion by allowing customers to shop second hand in an easy and convenient way. Before I  explore the specific details, let me establish a clear understanding of our foundational principles that shape our investment criteria.

1. Fundamental Concepts

• Triple Bottom Line (TBL): is a concept which evaluates the performance of a business based on three factors: social, environmental, and financial. Not only does it assess economic success (profit) it also takes into consideration the social impact and environmental sustainability of such a company. TBL aims to measure and balance these three elements to obtain responsible business practices and organizational sustainability (Investopedia).

• Corporate Social Responsibility (CSR): is the idea that a business has a responsibility to our society that exists around it. Companies should act in a way that has a positive impact on the world. This can be implemented through initiatives or strategies, depending on the variation of goal (Harvard Business School). 

• Social Enterprise: typically refers to a business with specific social objectives as their primary goal, while using a commercial structure to run their organization. They try to make strong societal impacts while still maximizing their profits. (Corporate Finance Institute). 

• Carbon footprint: this is the total amount of greenhouse gasses (including carbon dioxide and methane) that are generated by our/a company's actions (The Nature Conservancy).

2. Company Description

Depop is an online marketplace that aims to foster a sustainable and inclusive fashion environment. They are committed to inspiring customers to embrace circularity, Depop priotizes seller education on the environmental impact of secondhand purchases. Through external initiatives, the platform actively promotes sustainable fashion, aiming to keep products and resources in use at their highest value. Depop has set ambitious goals across multiple environmental and social impact areas:

• Net Zero: Strive for NetZero by aligning  with climate change science, implementing near-term and long-term greenhouse gas emission reduction targets while offsetting 100% of measured emission. 

• Sustainable Operations: Pursue best-in-class sustainable operations, including sourcing 100% of electricity from renewable sources, achieving ‘Zero Waste’ operations by 2025, and setting energy efficiency targets. 

• Employee DEI (Diversity, Equity, and Inclusion): Build diverse and inclusive

3. Critical Appraisal of Company’s Practices:

Opinion 1:

Opinion 2:

Opinion 3: 

Opinion 4:

1. Case for Consideration: