Norway’s sovereign fund expands Israeli divestments amid Gaza war scrutiny
Since late June, the fund has sold shares in 17 Israeli companies, including Paz, Azorim, Delek Motors, El Al, Energix, eToro, Max Stock, Levinsky Engineering, Priortech, Rami Levy, REIT 1, Retailors, Sela Real Estate, Amos Luzon Group Development and Energy, Firon, and Scope Metals
Norway’s sovereign wealth fund, the world’s largest with assets of $2 trillion, announced Monday that it will divest from six additional companies linked to the West Bank and Gaza, following a review of its Israeli investments.
The fund, managed by Norges Bank Investment Management, did not disclose the companies’ names, saying they will be revealed after the share sales are completed. The decision reflects heightened scrutiny amid the ongoing Israel-Hamas war.
The move follows an urgent review launched this month after reports that the fund had taken a stake in Israel’s Bet Shemesh Engines, which provides maintenance services to the Israeli military, including fighter jets.
The fund’s ethics council, which oversees investment guidelines, pledged to continue quarterly assessments of Israeli firms. Last week, the fund reported selling stakes in 11 of its 61 Israeli holdings for similar reasons, though it withheld the companies’ names.
Norwegian financial outlet E24 reported that since late June, the fund has sold shares in 17 Israeli companies, including Paz, Azorim, Delek Motors, El Al, Energix, eToro, Max Stock, Levinsky Engineering, Priortech, Rami Levy, REIT 1, Retailors, Sela Real Estate, Amos Luzon Group Development and Energy, Firon, and Scope Metals, exceeding the 11 divestments officially announced last week.
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The announcement suggests the six companies named Monday may overlap with this list. In June, Norway’s parliament rejected a proposal to sell all holdings in companies operating in the West Bank. The fund, which owns stakes in 8,700 companies worldwide, held positions in 65 Israeli firms valued at $1.95 billion at the end of 2024.
The decision aligns with a broader trend among European institutional investors reassessing Israel-related investments due to the war in Gaza and the expansion of West Bank settlements.
Reuters noted that in May, the fund sold its stake in Israeli company Paz, citing its fuel infrastructure supporting settlements. That was the second divestment under updated guidelines, after the fund offloaded shares in Bezeq in December. In August, the ethics council tightened its rules, targeting companies deemed to assist “Israeli activities in the occupied Palestinian territories.”
