From Yahoo Finance: 2025-06-04 12:11:00

BlackRock’s retreat from ESG initiatives pleased Texas officials, leading to its removal from a state contractor and investment list. The decision followed BlackRock’s reduced participation in climate initiatives and fund offerings boycotting fossil fuel investments.

Despite Texas’s embrace, Attorney General Ken Paxton continues a legal fight alleging BlackRock and others influenced coal production, inflating energy prices. The case accuses the financial giants of pressuring coal companies to cut production, harming consumers.

As the state removes BlackRock from the boycott list, questions arise about the impact on antitrust claims. BlackRock denies the allegations, stating that forcing divestment from coal companies could raise energy prices and harm businesses.

The case alleges that BlackRock and other financial giants used their influence as shareholders to reduce coal production, impacting energy prices. The state’s decision to remove BlackRock from the list signifies a shift in its view of the company’s impact on the fossil fuel industry.

Read more: BlackRock’s Larry Fink gets a Texas reward for ESG retreat