Sarasin & Partners Divests from Equinor Amid Climate Strategy Clash

Sarasin & Partners has sold its stake in Equinor, citing the oil major's failure to align its strategy with global climate goals. Despite efforts to advocate for change, Sarasin believes Equinor has not committed to the Paris Agreement and continues to lag in its energy transition efforts.

Sarasin & Partners, a key player in climate talks with Equinor, has divested from the oil major citing a lack of strategic alignment with the global initiative to combat climate change. The move underscores growing investor impatience with corporations seen as not fully committed to the energy transition.

Having first invested in Equinor in 2021, the British asset manager played a significant role in the Climate Action 100+ initiative. This coalition seeks to compel top emitters to reduce their carbon footprint. Sarasin initially viewed Equinor as a potential model for the industry but has since revised its outlook.

Sarasin's decision highlights a rift between expectations and actions, as despite Equinor's stated support for climate goals, it continues to emphasize oil and gas production. The firm's substantial sale reflects frustration over the board's resistance to align with the Paris Agreement's 1.5-degree pathway.

(With inputs from agencies.)