PRESS RELEASE
FINGREEN AI to Cease Operations Following EU Omnibus Directive

FINGREEN AI today confirms it is ceasing all operations. This difficult decision is a direct result of the cascading regulatory changes introduced by the European Union’s Omnibus Simplification Package, which has fundamentally altered the sustainability reporting landscape and rendered the company’s core product and business model unviable.

A Strategy Built on the Mid-Market, Now Out of Scope

FINGREEN AI was strategically designed to service the large cohort of mid-market EU companies—predominately those with less than 1,000 employees—that were originally mandated to begin reporting under the Corporate Sustainability Reporting Directive (CSRD).

Our platform leveraged cutting edge technology to help this segment of companies streamline compliance, measure their environmental impact simply and efficiently, and prepare for mandatory reporting.

The core challenge is that this target segment, which represented most of our projected client base, has now fallen out of the scope of mandatory compliance, removing the market driver for our service.

The Impact of the Omnibus Directive

The first draft of the Omnibus Directive, proposed in February and adopted in April 2025, initially introduced two critical market shifts:

• Initial Threshold Increase: The scope of mandatory CSRD application was first raised to companies exceeding 1,000 employees and a minimum of €50 million in turnover or €25 million in total assets. This single measure instantly reduced the in-scope entities from an estimated 50,000 to 10,000.
• Delayed Deadlines: Mandatory reporting for Wave 2 companies was postponed from 2026 to 2028, and Wave 3 from 2027 to 2029.

Furthermore, the European Parliament’s negotiating position on the Omnibus Simplification package on November 13, 2025, has further solidified the exclusion of most mid-market entities. The proposal now recommends that mandatory CSRD reporting should only apply to companies with over 1,750 employees and a net turnover exceeding €450 million.

The Omnibus Directive reflects a wider recalibration of EU priorities in 2025, influenced by pressures like the Draghi Report, the Competitiveness Compass initiative, and geopolitical tensions. Notwithstanding the importance of these factors, the introduced deferral of CSRD obligations delays critical progress toward transparent, comparable ESG data—data essential for informed capital allocation, risk management, and long-term resilience. As of today, that would mean that around 94% of companies originally concerned by this regulation would be exempt from it.

Europe is taking a massive step backwards and slowing momentum in the global transition to sustainable business practices, one of the rare subjects it was at the forefront of.

A Proud Legacy and Gratitude

We remain proud of what FINGREEN AI accomplished in a short time. Our platform enabled clients to streamline compliance, reduce costs, and derive strategic value from ESG data. We developed robust AI models, forged strong partnerships, and contributed to the professionalization of sustainability reporting in Europe.

None of this would have been possible without the dedication of our team, the trust of our investors, and the collaboration of our partners and early clients. We extend our sincere thanks to all who supported us.

Though FINGREEN AI will close, we hope that the need for intelligent sustainability tools will endure—and grow—as regulatory clarity returns and market demand evolves.

Sincerely,

The FINGREEN AI Team