HKEX (00388) and LME have been named as defendants in a new claim regarding nickel trading brought by Elliott.

HKEX (00388) announced that Elliott Associates, L.P. and Elliott International, L.P. (collectively referred to as "Elliott") submitted a claim to HKEX's wholly-owned subsidiary London Metal Exchange (LME) and LME Clear Limited (LME Clear) regarding the decision to cancel all nickel contract trades executed at or after 00:00 UK time on March 8, 2022 (2022 judicial review claim). As disclosed in the announcement, the High Court of England and Wales issued a ruling in favor of the LME and LME Clear regarding the 2022 judicial review claim on November 29, 2023, and the Court of Appeal of England and Wales dismissed Elliott's claim/appeal on October 7, 2024. Further disclosure in HKEX's "2025 Interim Results Report" dated August 20, 2025, states that the Supreme Court of the United Kingdom rejected Elliott's application to appeal the Court of Appeal's ruling regarding the judicial review. Consequently, the 2022 judicial review claim has been concluded. HKEX and LME are now listed as defendants in a new claim brought by Elliott regarding its nickel trading (2026 Competition Appeal Tribunal claim), which Elliott submitted to the UK Competition Appeal Tribunal (the Tribunal) on September 3, 2026. HKEX has not yet received any legal documentation related to the 2026 Competition Appeal Tribunal claim. Elliott must first obtain the Tribunal's permission before serving HKEX with any related legal documents. Should such permission be granted, HKEX may file further defenses regarding that permission. In summary, in the 2026 Competition Appeal Tribunal claim, Elliott alleges that HKEX and LME violated the provisions of the UK's Competition Act 1998, Chapter II, prohibiting abuse of a dominant market position, including failing to implement appropriate arrangements and systems to prevent disorderly trading during periods of severe market pressure, and failing to monitor and manage volatility in LME nickel futures contract trading; failing to identify and manage conflicts of interest; and failing to operate its arrangements and systems under a framework of transparent, objective, non-discriminatory, and proportionate substantive criteria. If the Tribunal rules in favor of Elliott, the amount of compensation will be determined by the Tribunal. HKEX believes that the 2026 Competition Appeal Tribunal claim has no legal basis and will actively contest it. Nothing contained in this announcement constitutes, nor should it be interpreted as, HKEX's acceptance of the Tribunal's jurisdiction.