Industry season 3 episode 1 ending explained: Was the Lumi IPO a mistake?

Industry season 3 premiered on 11 August 2024 on HBO Max. Episode 1 explores how Pierpoint & Co. focuses primarily on ESG investing. For the unversed, ESG stands for Environmental, Social, and Governance Investing and it encourages financial investors to direct their money toward ethically sound prospects.

The episode synopsis reads:

"As Pierpoint gears up to take Lumi public, Eric gets a long-awaited promotion to partner, Yasmin tries to escape Harper's shadow at the desk, and Robert struggles to manage Lumi CEO Henry Muck. Meanwhile, Harper sees an opportunity to get back in the game at hedge fund FutureDawn."

Pierpoint transitions to ESG investing by supporting Lumi, a green energy company headed by CEO David Muck (Kit Harrington). However, this decision to underwrite Lumi's Initial Public Offering (IPO) quickly raises serious questions about the company's true value. This is due to evidence emerging of Muck fudging the company's earnings reports, causing one investor to flee before the company goes public.

As the episode concludes with Lumi's IPO, Muck brags about providing power for the exchange. That's when a power outage happens, leading to utter chaos. The implication for people at Pierpoint who spearhead the partnership, like Robert Spearing, is that the Lumi IPO may have been a mistake.

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Industry season 3 episode 1 deconstructs the notion of ESG investing

In line with its satirical take on the financial services industry, Industry season 3 shines a harsh light on the idea of socially responsible investing. Lumi purports to be a green energy company that is striving for a more sustainable and responsible future. However, David Muck's erratic personality and unethical business practices cast doubt over whether or not it was a wise decision to partner with his company.

Pierpoint still pushes ahead with the IPO despite another investor dropping out over the doctored earnings reports. This implies that the bottom line is, as always, money above everything else.

The power outage at the end of episode 1 of Industry season 3 will likely raise even more questions about Lumi's actual viability as an energy company.

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Eric Tao becomes trigger-happy

Another subplot in Industry season 3 episode 1 is Eric Tao's mercurial behavior, as he's under pressure from William Adler to fire someone from the company. Eric starts targeting the people under him, including Yasmin, who's recovering from the fallout she had with her family in the previous season.

However, Yasmin finds an ally in Kenny Kilbane, Yasmin's line manager, who vouches for her and dissuades Eric from swinging down the axe. Eric also bonds with Robert over a personal crisis that the latter faces after witnessing the abrupt death of his love interest, Nicole Craig.

Unwilling to open up about it due to his fear of getting implicated in a scandal, Robert has a breakdown on Pierpoint's trading floor. Eric helps Robert snap out of it by having him repeat his personal mantra:

"I AM A MAN AND I AM RELENTLESS"

Eric's own life, however, is shown to be barely put together, as he deals with his wife who's leaving him soon. He also tries to cope with the stress of Lumi's IPO by inviting Yasmin and her friend to a party where he caves into his hedonistic impulses.

The next day, strung out and hungover, Eric finally makes his decision on who to fire, and it comes as a complete shock. Kenny Kilbane is the one who loses his job, thanks to Eric's impulsive demeanor.

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The cracks are starting to show in Pierpoint's partnership with Lumi. The season premiere has established that while things like investment rationale may change, the core motivations driving Pierpoint remain the same.

Watch Industry season 3 episode 1 currently streaming on HBO Max.