Norway wealth fund excludes Power Construction Corp of China (updated)
06/07/2023 21:59
(Adds detail)
OSLO, July 6 (Reuters) - Norway's $1.4 trillion
sovereign wealth fund said on Thursday it has excluded Power
Construction Corp of China Ltd 601669.SS from its portfolio.
The Chinese company was excluded due to "unacceptable risk
of the company contributing to or being responsible for serious
environmental damage," based on the company’s hydropower
development in Batang-Toru in Indonesia, it said in a statement.
The fund, one of the world's largest, also said it had
placed London-listed oilfield services firm Petrofac Ltd PFC.L
under observation for three years, citing "unacceptable risk of
gross corruption or other serious financial crimes."
It added that it had also decided to end the special
exercise of ownership in UPL Ltd UPL.L .
Norway's wealth fund operates under ethical guidelines
set by parliament and excludes investments in companies that it
says does not respect the guidelines.
The Norwegian sovereign fund, formally called the
Government Pension Fund Global and set up in 1996 to save
petroleum revenues for future generations, owns about 1.5% of
all globally listed shares.
It holds stakes in more than 9,200 companies globally.
(Reporting by Victoria Klesty; editing by Diane Craft)
((victoria.klesty@thomsonreuters.com; +47 2331 6592; Reuters
Messaging: victoria.klesty.thomsonreuters.com@reuters.net))