abrdn says breaking up Shell could destroy benefits of fossil giant's integrated business model - reports

Fund manager rejects call to break up Shell

clock • 2 min read
abrdn rejects call to break up Shell
Image:

abrdn rejects call to break up Shell

A leading investor in Royal Dutch Shell, abrdn has rejected calls to split up the fossil fuel giant, the FT reported.

One of Shell's biggest stakeholders abrdn said splitting the oil major into separate companies would be too complicated and unlikely to add long-term value for investors. According to the FT, abrdn fund manager Ian Pyle said splitting up Shell - as proposed by activist hedge fund Third Point - could destroy the benefits of Shell's integrated business model. "People are fully aware of how difficult it would be to break up Shell," said Pyle. "Just because Third Point says it makes compelling financial logic does not mean it will happen." Activist hedge fund Third Point calls for brea...

To continue reading this article...

Join Investment Week

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now

 

Already an Investment Week
member?

Login

More on Markets

The worst contender dropped 166%, with its flows going from net positive to net negative
ESG

Morningstar figures reveal drop in recently ESG rebranded funds flows

Worst fund saw 166% drop

Kathleen Gallagher
clock 24 June 2022 • 5 min read
Industry Voice: T. Rowe Price's 2022 Midyear Market Outlook summary

Industry Voice: T. Rowe Price's 2022 Midyear Market Outlook summary

Transitioning to a new paradigm

Ritu Vohora, Investment Specialist, Capital Markets at T. Rowe Price
clock 23 June 2022 • 2 min read
The UK Infrastructure Bank just surpassed its one year anniversary
ESG

UK Infrastructure Bank to move away from investing through fund managers - reports

Chief executive has come under pressure

Elliot Gulliver-Needham
clock 23 June 2022 • 2 min read
Trustpilot