BREAKINGVIEWS-Elliott’s LSEG bet highlights value in AI swoon

The author is a Reuters Breakingviews columnist. The opinions expressed are his own.

By Neil Unmack

LONDON, Feb 11 (Reuters Breakingviews) - The hedge fund has built a stake in the $52 bln exchange operator and data provider. The target’s shares have been hammered by fears of tech disruption, but a breakup or sale look tricky. Besides cost-cutting, the clearest logic is that the London Stock Exchange Group is cheap.

Full view will be published shortly.

Follow @Unmack1 on X.

CONTEXT NEWS

Elliott Management has built a “significant” stake in London Stock Exchange Group, the Financial Times reported on February 11, adding that it did not know the size of the shareholding.

LSEG shares have fallen around 15% year to date amid fears that AI models will disrupt its core data business. Its shares were up 2.4% as of 0958 GMT on February 11.

More This page is machine-translated. Sahm tries to improve but does not guarantee the accuracy and reliability of the translation, and will not be liable for any loss or damage caused by any inaccuracy or omission of the translation. *Disclaimer: The above content only represents the author's personal position and opinion and does not represent any position of Sahm Capital Financial Company and Sahm cannot confirm the authenticity, accuracy, and originality of the above content. Investors should consider the risks of investment products in light of their circumstances before making any investment decisions. When necessary, please consult a professional investment advisor. Sahm does not provide any investment advice, nor does it make any commitments and guarantees.