From Financial Modeling Prep: 2025-06-02 07:28:00

German asset manager Union Investment divested from ExxonMobil and EOG Resources due to their high carbon intensity and lack of commitment to climate targets. Both companies failed to meet Union Investment’s net-zero requirements.

ExxonMobil and EOG Resources lacked clear net-zero targets and robust decarbonization plans. Their high carbon emissions profile in the oil & gas sector led to Union Investment’s decision to reduce its financed emission footprint.

Investors will monitor energy benchmarks and credit ratings for ExxonMobil and EOG Resources. The companies are classified under the oil & gas industry, facing pressure from ESG-focused investors and a shift towards lower-carbon alternatives.

Union Investment’s move aligns with a broader trend among European asset managers reallocating capital to renewable energy and tech innovators. Other major asset managers have also divested from high-emission oil & gas companies in favor of clearer pathways to Net Zero.

Proceeds from divestment will likely be reinvested in clean-energy infrastructure and carbon capture technology. Union Investment plans to engage more with remaining energy holdings to push for methane reduction and emissions targets in line with climate goals.



Read more at Financial Modeling Prep:: Union Investment Cuts Ties with ExxonMobil and EOG…