The French Financial Supervisory Authority has rejected Covéa Groupe SAS's allegations of market abuse against reinsurers Scor SE's Chairman of the Board and CEO Denis Kessler.
After examining Covéa's allegation filed in March this year, the Autorité des Marchés Financiers stated “The information collected does not support allegations of market abuse.
AMF has therefore informed the French Public Prosecutor's Office, Parquet National Financier, that there is no evidence of alleged price manipulation behind Scor's share purchase in 2018.  Covéa claimed that the program to repurchase shares of EUR 195 million went up in Scor's share price after Covéa's failed takeover attempt in 201
Scor said the accusations against Mr. Kessler, who is following a long-running battle between the two companies, was "fraudulent and baseless."
It said that the increased share of price in 2018 was driven by Covéa's bid for the company in September 2018, rather than the share purchase program, which was announced in 2017 before the unwanted takeover bid.
Commercial Risk Europe is a sister publication of Business Insurance. More stories from CRE here.