Situation Report

Engine No. 1, a private equity firm driven by Charlie Penner and Chris James, is revolutionizing corporate governance. With an ESG-focused strategy, they challenged giants like Vale, prompting safety and environmental reforms, and ExxonMobil, reshaping energy’s climate stance. Their campaign against Apple underscored tech’s responsibility for sustainability. Lessons from their investment in Theranos emphasized due diligence. Collaborating with Perennial Value Management’s Perennial Total Value Fund demonstrated unity in advocating for responsible practices. While victories are celebrated, navigating differing leadership styles and balancing short-term gains with long-term ESG goals remain challenges. Engine No. 1’s journey highlights the transformative power of responsible business, benefiting shareholders and society.