Elliott seeks $456M from LME over nickel chaos

Elliott seeks $456M from LME over nickel chaos Paul Singer’s Elliott Investment Management is seeking $456 million in damages from the London Metal Exchange over its move in March to cancel nickel trades after a massive short squeeze
Finance
June 6, 2022 13:32
Elliott seeks $456M from LME over nickel chaos

Paul Singer’s Elliott Investment Management is seeking $456 million in damages from the London Metal Exchange over its move in March to cancel nickel trades after a massive short squeeze, Report informs referring to Bloomberg.

The suit was filed by two Elliott vehicles against the LME and its clearing house in the English High Court on June 1, according to a statement issued by Hong Kong Exchanges & Clearing Ltd., the parent company of the defendants. “The LME management is of the view that the claim is without merit and the LME will contest it vigorously,” it said in the statement.

The move by the activist investor ratchets up pressure against the LME, which has been widely criticized for its decision to halt trading and cancel bets. The LME is also facing a review by UK regulators after it undid billions of dollars of transactions and halted trading for over a week. The nickel market has been stuck in an extended limbo of low liquidity and volatility since the crisis.

Elliott’s lawsuit is challenging the decision to cancel trades, claiming it was “unlawful on public law grounds and/or constituted a violation of their human rights,” according to the statement.

Latest news

Orphus sistemi