Today, BP's shares jumped significantly, rising almost 7% to hit their highest level since August. This increase corresponds with claims that activist investor Elliott Management owns a significant portion of the business.


With BP's stock up 7.3% trading at 464.75 pence as of 08:23 GMT, the largest significant daily increase since February 2023. Underperforming relative to peers like Shell and ExxonMobil, BP's shares have dropped about 16% in 2024.

Renowned for its activist investing policies, Elliott Management is apparently supporting radical changes meant to improve BP's shareholder value. Although the precise amount of Elliott's investment is yet unknown, their participation has spurred rumours regarding probable strategic changes inside BP, including possible restructuring of corporate divisions or leadership changes.

Murray Auchincloss, the CEO of BP who replaced Bernard Looney in September 2023, has been working to regain investor trust. Particularly in green energy programs, BP has been reevaluating its investment policies and concentrating on cost-cutting initiatives under his direction. The firm has revealed intentions to sell a refinery in Germany and cut its worldwide staff by more than 5%.

Analysts believe Elliott's participation might result in major strategic adjustments at BP. To simplify the company's focus and improve cash flow generation, such moves may be selling some assets, such BP's U.S. shale activities or its marketing and retail divisions.

The favourable reaction of the market to Elliott's investment shows investor hope regarding possible strategic direction and performance enhancement of BP. Stakeholders will be keenly observing BP's upcoming announcements and strategy updates as the matter gets developed.