Sarasin & Partners, a major London-based investment firm, has pulled its money from Equinor, accusing the Norwegian energy giant of backtracking on climate commitments.
The investor, which had held Equinor shares since 2021, publicly announced its planned exit in January 2025, citing frustration with the company’s failure to align its strategy with a 1.5°C climate pathway.
Sarasin had initially backed Equinor, believing the state-backed company could lead the transition away from fossil fuels. However, in a letter to Equinor’s board, it made clear the company’s recent actions had destroyed that confidence.
“Despite statements supporting a 1.5°C pathway, in our view, Equinor has not revised its strategy to deliver on these,” Sarasin stated, adding that its long-term capital was now at risk.
The tipping point came at Equinor’s May 2024 AGM when the company’s board opposed a Sarasin-backed shareholder resolution calling for investment decisions to align with climate targets.
Instead of stepping up, Equinor has since followed other oil and gas majors in rolling back its energy transition plans.
Sarasin also took aim at Equinor’s claim of being aligned with the Paris Agreement, calling it misleading. It argued that Equinor’s position was conditional—only aligned if the rest of the world accelerates the transition—rather than actively supporting the shift away from fossil fuels itself.
The firm warned that these kinds of claims fuel complacency in the energy sector, allowing companies to maintain business as usual while pretending to be part of the climate solution. As extreme weather events escalate and the risks of inaction grow, Sarasin said it could no longer justify holding Equinor shares.
While Sarasin acknowledged that its discussions with Equinor had been professional, it ultimately accused the board—backed by the Norwegian government—of prioritising short-term profits over sustainable capital creation.
For Equinor, the loss of an investor that had championed its transition ambitions is surely worrying.
