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Hedge fund Elliott Management has taken a €670mn short position in French energy major TotalEnergies according to regulatory filings, as the US activist firm agitates for change at rival BP.
The bet, worth 0.52 per cent of TotalEnergies’ stock, was taken on Thursday and publicly disclosed by the French markets regulator on Friday.
Elliott’s move came after it took a stake of almost 5 per cent in struggling UK oil major BP in February, worth almost £3.8bn, where it is pushing for big divestments and a renewed focus on oil and gas.
Hedge funds often take short positions in competitors of a company in which they have stakes to reduce the impact of broader market movements on their portfolio.
Under long-serving chief executive Patrick Pouyanné, TotalEnergies is still investing in expanding its production of oil and gas. It has a growing portfolio in liquefied natural gas, which the business sees as an important “transition” fuel.
TotalEnergies has consistently outperformed its European rivals in recent years and it reported results ahead of expectations last month, despite a slowdown in commodities and refining markets contributing to a 21 per cent fall in net income in 2024.
The French company also remains committed to renewable energies through its electricity division, Integrated Power, which combines gas-fired electricity plants, with wind, solar and battery technology.
It is aiming to increase electricity production from 41 terawatt hours in 2024 to more than 100Twh of electricity by 2030.
Elliott and TotalEnergies did not immediately respond to requests for comment.
