Aug 1 (Reuters) - A U.S. judge on Friday largely

rejected a request by top asset managers including BlackRock ( BLK )

to dismiss a lawsuit filed by Texas and 12 other

Republican-led states that said the companies violated antitrust

law through climate activism that reduced coal production and

boosted energy prices.

U.S. District Judge Jeremy Kernodle in Tyler, Texas agreed

to dismiss just three of the 21 counts in the states' lawsuit,

that also names institutional investors State Street and

Vanguard.

The lawsuit is among the highest-profile cases targeting

efforts to promote environmental, social and governance goals.

Representatives for the companies did not immediately

respond to requests for comment.

The ruling by Kernodle, who was appointed by President

Donald Trump, means the states can move forward with their

claims that the asset managers violated U.S. antitrust law by

joining Climate Action 100+, an investor initiative to take

action to combat climate change, and used their shareholder

advocacy in furtherance of its goals.

The companies have denied wrongdoing and called the case

"half-baked." But the states' theories garnered support from

Trump-appointed antitrust enforcers at the U.S. Department of

Justice and Federal Trade Commission.

The outcome of the lawsuit could have major implications for

how the companies, which together manage some $27 trillion,

approach their holdings and passive funds.

One possible remedy sought by the plaintiffs would be for

the fund firms to divest holdings in coal companies, which

BlackRock ( BLK ) has said would harm the companies' access to capital

and likely raise energy prices.