BP leadership faces shareholder vote amid Elliott campaign, climate ire

By Shadia Nasralla

SUNBURY-ON-THAMES, England, April 17 (Reuters) - BP's BP.L board is up for re-election at its annual general meeting on Thursday as the group faces activist shareholder Elliott Management and climate-focused investors who have called for a vote against Chairman Helge Lund.

BP, whose stock has been underperforming rivals such as Shell SHEL.L and Exxon XOM.N, has come under increased pressure to boost its share price after U.S. hedge fund Elliott Management built up a nearly 5% stake in recent months.

CEO Murray Auchincloss and chairman Lund supported previous chief Bernard Looney's 2020 plan to slash BP's oil and gas output by 40% this decade and invest heavily in renewables.

In a bid to regain investor confidence, Auchincloss, who was finance chief under Looney, in February announced BP would completely abandon the plan and renew its focus on oil and gas.

This has drawn ire from some climate-focused investors who are unhappy that BP is not offering a vote on the strategy U-turn.

In addition to smaller investors, Legal & General LGEN.L, a top-10 BP shareholder according to LSEG data, has called for a vote against Lund.

Lund announced this month he would step down likely in 2026, but a poor turnout in his favour at Thursday's meeting might expedite his exit. Board members need 50% of votes to be elected and typically achieve tallies near 100%.

Influential proxy advisors Institutional Shareholder Services Inc (ISS) and Glass Lewis have recommended that shareholders vote in favour of the re-election of BP's 12-member board.

The meeting is due to start at 1000 GMT at a BP campus on the outskirts of London.