RIYADH: Yvon Chouinard, founder of American outdoor cloth retailing company Patagonia, his spouse and two adult children have transferred their ownership in the firm worth $3 billion to fight climate change.
According to a New York Times report, the amount was donated to a specially designed trust and a nonprofit organization called the Patagonia Purpose Trust and the Holdfast Collective respectively.
In a letter published on the Patagonia website, Chouinard said that Earth is now the company’s only shareholder.
“We’re in business to save our home planet. While we’re doing our best to address the environmental crisis, it’s not enough,” wrote the 83-year-old businessman and rock climber.
He added: “We needed to find a way to put more money into fighting the crisis while keeping the company’s values intact. Truth be told, there were no good options available. So, we created our own.”
According to Chouinard’s letter, the Patagonia Purpose Trust will work to protect the company’s value, while the Holdfast Collective will ensure the conservation of wildland and biodiversity, along with fighting climate change.
The trust will get all the voting stock, which is 2 percent, while the Holdfast Collective owns all the non-voting stock of Patagonia, which amounts to 98 percent.
The company also aims to generate and donate about $100 million annually to climate protection initiatives depending on the health of the business.
“Earth’s resources are not infinite, and it’s clear we’ve exceeded its limits. But it’s also resilient. We can save our planet if we commit to it,” he added.
