FILE PHOTO: A Shell logo is seen on a fuel pump at a gas station In Warsaw, Poland June 1, 2017. REUTERS/Kacper Pempel/File Photo
October 27, 2021
(Reuters) -Activist investor Daniel Loeb’s Third Point took a large stake in Royal Dutch Shell and has urged the European oil major to split into two separate companies, the Wall Street Journal reported on Wednesday.
The stake is worth more than $500 million, making Third Point one of the largest investors in Shell, the report said, citing people familiar with the matter.
Shell and Third Point did not immediately reply to Reuters requests for comment.
The fund believes Shell should consider creating two stand-alone companies – one housing its legacy businesses and the other focused on renewables, the WSJ reported, citing a letter to the company’s investors on Wednesday that was seen by the newspaper.
Shell, which is due to publish third-quarter results on Thursday, is the world’s biggest fossil fuel retailer and aims to become one of the world’s biggest renewable electricity traders.
Smaller Shell rivals Eni and Repsol have already flagged plans to spin off parts of their renewables businesses to help finance their transition to offering more lower-carbon products.
(Reporting by Arathy S Nair in Bengaluru; Additional reporting by Shadia Nasralla; Editing by Arun Koyyur and David Holmes)
Source: One America News Network
