Abrdn braced for AGM climate protests over ‘toxic bond’ ties to beleaguered Adani Group
Asset manager Abrdn is braced for protests at its annual general meeting today as climate campaigners take aim at its provision of debt financing to what they call “fossil fuel expansionists”, including controversial Indian multinational Adani Group.
Campaign group Toxic Bonds Network said it would camp out and lobby attendees to the meeting in Edinburgh, in protest at the FTSE 100 firm’s dealings with carbon intensive firms.
In a statement shared with media, the campaign group singled out troubled Indian conglomerate Adani, a major coal producer which has faced a bruising attack from a short seller in recent weeks, and called on Abrdn to halt its financing of the company.
“Investing in the likes of Adani Group is inexcusable and begs to question whether Abrdn is exercising its due diligence and performing in its investors and clients best interest,” Alice Delemare Tangpuori, Coordinator of the Toxic Bonds Network said in a statement.
“To turn the business around, Abrdn’s CEO Stephen Bird must step up and show clients and shareholders that it’s protecting their long term investments by excluding risky coal developers,” she added.
Abrdn holds around $13m worth of bonds for Adani Group which derives some 60 per cent of its revenue from coal related businesses.
The vowel-stripped investor, which manages some £500bn in assets for clients, said in its most recent annual report it was targeting a 50 per cent reduction in the carbon intensity of its portfolio by 2030 but stressed the de-carbonisation process “will not be linear”.
The firm said its climate strategy focused on “active investments in transition leaders” rather than rowing back from backing firms on carbon-intensive firms.
“We assess this through proprietary analysis and through direct engagement with our highest-financed emitters where we believe we can actively influence decision-making,” Abrdn said.
Abrdn and Adani Group were contacted for comment.