(Reuters) - Activist hedge fund Elliott Management Corp’s UK unit is being investigated by a French regulator for possible insider trading related to the purchase of French highway operator Autoroutes Paris-Rhin-Rhone (APRR) shares in 2010, Bloomberg reported.
Elliot said, in a filing sent to investors, it got a letter from Autorite des Marches Financiers, the French regulator, regarding APRR shares that may have been purchased between May 28, 2010, and June 11, 2010, Bloomberg reported.
The French regulator in the letter said Elliot made a profit of about 2.75 million euros ($3.6 million) by possibly inflating the stock price before selling, Bloomberg reported.
“Elliott’s trading in APRR did not at any time make use of any material nonpublic information, was a legitimate business purpose, and did not artificially inflate the price of APRR shares,” the company said in a filing sent to investors obtained by Bloomberg.
Peter Truell, Elliott spokesperson, declined to comment when contacted by Reuters.
(This story is corrected to add words “may have” in second paragraph and “possibly” in third paragraph)
Reporting by Mridhula Raghavan in Bangalore; Editing by Lisa Shumaker