They canceled a single contract based on a fairly simple principle that Walgreens is not providing medical service equitably.
The Walgreens situation is actually completely ridiculous on Walgreen’s part because they are not just not providing service where that service is disallowed by state law, but also where it might be disallowed by state law and a handful of lawmakers complained.
Also, there is literally no equivalence between ESG (which unlike what Elon Musk and Republican Senators who have no clue, is not about investing to improve the environment, for example, but instead is about investing in a way that considers environmental, social, and Governance risks to the business, so, for example, when investing in a new ski lodge, factoring the fact that the number of snow days have dropped and will continue to drop over the next few years when doing their projections) considering investment firms, which have tons of competition, and pharmacies, which sometimes are the only pharmacies in a region, refusing to provide essential medicine.
In reality, because they don’t have an understanding of what ESG actually is in the investment world (it’s not about making the planet better, unfortunately), what this will mean is that Texas will end up having to invest its money in tiny bespoke investment funds created just for Texas which are not allowed to factor a whole universe of risks, and will therefore almost certainly have much poorer performance relative to their ESG counterparts.
Which kind of raises why this bill is actually being put in place besides performative politics. It’s so their small time donors who would otherwise not be able to compete against the larger well run funds can get a slice of that Texas donation pie.
I guarantee when these contracts are rewritten they will go to mid sized hucksters who have donated individually to Texas State representatives.