The festival in Scotland’s national book town is the latest in a number of literary events to end sponsorship deals with Baillie Gifford.
The Edinburgh International Book Festival and the Hay festival in Wales were followed on Tuesday by the Borders Book Festival in Melrose.
Campaign group Fossil Free Books had criticised the festivals for working with a company it claims has links to fossil fuel firms and Israel, and welcomed the announcements.
Baillie Gifford has defended its record, saying it is not a major fossil fuel investor and described claims that it had significant amounts of money in the occupied Palestinian territories as “offensively misleading”.
Dozens of Scotland’s top writers last week criticised the impact of protests over the sponsorship on the Edinburgh International Book Festival.
They described the tactics being used as “ill-thought out”.
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