Scotiabank’s 1832 Asset Management subsidiary has dissolved its stake in Israeli arms manufacturer Elbit Systems ESLT.TA, ESLT.O, regulatory filings showed, after the Canadian bank faced sharp criticism for the investment.
Activists angered over Elbit’s role in supplying military equipment used by Israel during the war with Hamas had pressured the Scotiabank BNS.TO investment arm, which at one point was the biggest foreign investor in the weapons maker.
The investment arm no longer holds shares in Elbit, a change from its reported holding of about 165,000 shares in November, according to the filing with the US Securities and Exchange Commission on Friday.
The Canadian bank did not immediately respond to a Reuters request for comment on the stake sale.
Scotiabank’s exposure to the weapons maker had triggered a number of protests at the bank’s branches, Reuters reported in 2023. It had also disrupted Canada’s prestigious Giller Prize Gala, a literary award that was sponsored by Scotiabank.
The contract between the Giller Prize and Scotiabank ended in February 2025.
The Defense Ministry said in January that it had signed a multi-year agreement for air munitions with Elbit worth $183 million.
Elbit reported sharply higher third-quarter profit in November, fueled by sales to Israel’s military during the Israel-Hamas war and by higher global defense spending.
US-listed shares of Elbit more than doubled last year.