BP's leadership is facing shareholder votes amid Elliott campaign and climate ire
BP's Board is up for reelection on Thursday at its annual meeting. The group will be facing activist shareholder Elliott Management, as well as climate-focused investors that have asked for a vote to remove Chairman Helge Lind.
BP's stock, which has underperformed rivals Shell and Exxon in recent months, is under pressure to increase its share price. This comes after U.S. hedge funds Elliott Management have built up a stake of nearly 5%.
CEO Murray Auchincloss, and Chairman Lund, supported the 2020 plan of former chief Bernard Looney to cut BP's output of oil and gas by 40% in this decade and heavily invest in renewables.
Auchincloss announced in February that BP was abandoning the plan completely and refocusing on oil and natural gas.
Some climate-conscious investors are upset that BP does not offer a vote on its strategy U-turn.
Legal & General has also called for a vote to be taken against Lund. According to LSEG, Legal & General is a shareholder in the top 10 of BP.
Lund announced in this month that he will step down in 2026. However, a low turnout at the meeting on Thursday could accelerate his departure. To be elected, board members must receive 50% of the votes. Typically, they achieve a total near 100%.
Institutional Shareholder Services Inc. (ISS) as well as Glass Lewis, two influential proxy advisors, have advised that shareholders vote to re-elect BP's 12 member board.
The meeting will begin at 1000 GMT on a BP Campus outside of London.
(source: Reuters)
