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According to two people with knowledge of the move, the activist hedge fund Elliott Management has built up a share of fighting UK Oil Major BP.
The exact size of Elliott’s proportion could not be learned, but the 70 billion USD in Management HEDGEGENS has adapted its activist strategy in recent years to increase the size of its individual bets and at the same time reduce the number of situations on which they concentrated.
BP’s shares dropped by almost 9 percent last year compared to an increase in competition of 6.5 percent, and investors complained about the company’s financial sub -performance, high debts and the lack of strategic clarity.
In the past few weeks, speculation has been widespread at the London market that BP is susceptible to a takeover offer or for an activist shareholder.
The pressure of the US investor could urge the BP to build its nuclear oil and gas business after years of building a spacious empire of projects for green energy.
A BP investor suggested that Elliott could demand a complete separation or that the company decreases some of its weaker businesses and re-order in the USA.
Other activist funds have recently examined with the accumulation of participation in BP, but the size of the company of 70 billion GBP has deter them. A US activist who looked at a step said that BPS had “fallen asleep at the wheel” and had a “confused strategy”. It added: “The BP’s upstream business justifies its entire market value in itself.”
Both BP and Elliott rejected a statement.
BP reports quarterly results on Tuesday and will update the investors on February 26 by its medium -term strategy.
Murray Aschlzloss, the company’s managing director, delayed the update and moved it from New York to London after he had undergone an unknown medical intervention.
Elliott is run by Gordon Singer, the son of the founder of the Paul Singer company, in the UK and Europe. The company has targeted companies such as the Great Britain Anglo American and Pharmaceutical Giant GSK.
The company is known as a terrifying activist investor who is willing to keep the meeting room if it does not agree to the strategic orientation of a company.
At the beginning of this week the FT reported Smiths GroupSupporting a plan for the company to sell or promote two of its four units.
The company achieved a big victory against the US conglomerate Honeywell This week, the company announced that it would share a campaign to achieve this result only three months after Elliott had committed a campaign.
Elliott’s participation in BP was first reported by Bloomberg.
Additional reporting by Jamie Smyth in New York
