Financial Times writes about a lawsuit by investors against Kellogg alleging investment risk from having such a high percentage of their revenue coming from foods deemed unhealthy.

As governments and investors press food companies including Kellogg to make their products more nutritious, the US group has in turn taken legal action against the UK government over an attempt to restrict marketing of some of its cereals because of their sugar content. The lawsuit is the latest sign of the tensions as governments and investors seek to address a global obesity problem that has been exacerbated by the Covid-19 crisis, even as inflation squeezes consumers’ wallets and intensifies foodmakers’ battle for market share.…

“For shareholders like LGIM, nutrition and in particular obesity have become systemic risks for companies we hold across multiple sectors,” said Maria Larsson Ortino, global environmental, social and governance (ESG) manager at Legal and General Investment Management, one of Europe’s largest asset managers. “We are actively engaging with those companies that have high revenue exposure to unhealthy products, as we believe they are likely to face the dual headwinds of increasing regulation and limitations on marketing of unhealthy foods.”