Frankfurt am Main (AFP) – German authorities have opened a probe into stock buys made in 2015 by Deutsche Boerse group head Carsten Kengeter before the announcement of the market’s planned merger with the London Stock Exchange, a spokesman said Wednesday.
The inquiry centres on a financial operation carried out by Kengeter on December 14, 2015, consisting of the purchase of shares worth about 4.5 million euros ($4.8 million) in the Deutsche Boerse group, the bourse spokesman told AFP.
Two months later, in February 2016, Deutsche Boerse and the London Stock Exchange unveiled their merger plans, an announcement which sent their share prices shooting upwards.
“The investigators are studying if there is a possible suspicion of insider dealing,” the Deutsche Boerse spokesman told AFP, adding that Kengeter had “always been transparent” about the operation.
In a short English-language statement, Deutsche Boerse said the Frankfurt public prosecutor’s office “today investigated at Deutsche Boerse AG in respect of a share purchase by its chief executive officer which was carried out on 14 December 2015”.
The share purchase was “in implementation of the executive board’s remuneration programme as approved by the supervisory board of Deutsche Boerse AG,” it said.
“Such (a) programme provides for an investment of the executive board members in shares of Deutsche Boerse AG,” it added, saying that it was cooperating “fully” with prosecutors.
COMMENTS
Please let us know if you're having issues with commenting.