Shares in Antofagasta PLC (LSE:ANTO) rose mid-morning on Tuesday after The Times reported that Elliott Investment Management had disclosed a £79 million short position against the FTSE 100 copper miner.
Filings with the Financial Conduct Authority show the Florida-based hedge fund has taken a position against 0.52% of Antofagasta’s issued share capital.
The move offers fresh insight into Elliott’s trading strategy, which includes hedging its exposure to other mining investments, notably its stake in Anglo American PLC (LSE:AAL).
Elliott, known for its activist approach, often pushes for strategic changes in companies it invests in. In this case, the short is seen as part of a broader risk-management play rather than a direct activist move.
Its interest in BP PLC (LSE:BP.), where it has a 5% position, underlines this strategy with its push for a back-to-basics approach after a foray into green energy investment.
The timing of the stake-build at Antofagasta coincides with investor unease over the impact of US trade tariffs announced earlier this month, which could weigh on global metals demand. Antofagasta, a major Chilean copper producer, extracted 664,000 tonnes of the metal in 2023.
The shares were up 1% at 1,556p in late morning trading.