Elliott reveals large stake in BP amid investor pressure

In London, on April 22, 2025, activist investor Elliott Management went public with its significant stake in BP, the British oil major, revealing a 5.006% ownership in the company. This disclosure led to BP's share prices rising prominently by 4.6%, marking a noticeable shift amid challenges the company has faced. The surge in price followed Elliott's position being announced officially through a regulatory filing, which added momentum to the ongoing discussions surrounding BP's strategic direction towards fossil fuel investments. This move by Elliott Management comes at a critical juncture for BP, which has previously been focusing on transitioning away from oil to align with more sustainable energy practices. However, Elliott's intervention appears to have put pressure on the company to reconsider its green initiatives, thereby focusing again on its core oil and gas business amid concerns over lagging profits. BP's fourth-quarter profit had seen a significant decline, diverging from the performance of its competitors such as Shell. In light of Elliot's entry, BP has made announcements revealing plans to ramp up fossil fuel investments, allocating as much as $10 billion through 2027. This pivot back to oil and gas reflects not only the impact Elliott's participation may have on the company's future strategy but also highlights a reaction to volatile crude prices affected by U.S.-China trade tensions and increasing tariffs. Executives, including BP's CEO Murray Auchincloss and outgoing Chair Helge Lund, have retained their positions amid these changes but encountered pushback from both climate-focused and revenue-focused investors during a recent board re-election vote. The renewed focus on core operations signals a significant shift in corporate strategy for BP, navigating the tension between traditional fossil fuel investments and the evolving energy market landscape.