How does targeted divestment work?
By divesting from these companies providing help to the government of Sudan, a divesting institution can help to reduce demand for the offending companies stock and thus making the price of the stock fall. In order to protect the value of shareholder investments, the targeted companies have two choices: either to encourage the government of Sudan to change its policy in the Darfur or to withdraw from Sudan in order to avoid further price instability. This will result in either a change in behaviour from the Sudanese government or the withdrawal of targeted companies and hence the withdrawal of foreign revenue for the Sudanese regime. By spreading the divestment movement internationally, we can improve the prospects of success.
