The fund management company cut its holding from 2.2 percent to 0.9 percent and continued offloading shares even after Shell published the deal prospectus, in which the Anglo-Dutch oil major revealed further capex and opex cuts that would boost the merger’s appeal.
Although the mega-merger was announced at a time when oil was pushing multi-year lows, prices have continued sliding since, eroding the immediate financial appeal of the combination.
Shell said last month that it expects the acquisition to break even with Brent crude prices in the low $60s in 2016, while the deal would add to operating cash flow per share at $50 a barrel.