Man Group Discloses 1.3% AMG Critical Materials Short

Man Group PLC disclosed a net short position of 1.3% in AMG Critical Materials N.V., according to a Form 8.3 filing with the Takeover Panel on Wednesday. The position, held through stock-settled derivatives, covers 406,000 ordinary shares of the Amsterdam-listed specialty metals and materials company.

The filing, dated Tuesday, shows Man Group holds a short position of 1.3% and a long position of 0.0% in AMG's relevant securities. The disclosure was made under Rule 8.3 of the Takeover Code, which requires any person with interests in relevant securities representing 1% or more to declare their position.

AMG Critical Materials, which processes vanadium, lithium, and other strategic metals, has seen its shares decline roughly 40% over the past year as commodity prices softened and demand from the steel and energy storage sectors weakened. The company's market cap stands at about €1.2 billion.

Man Group's short bet comes as AMG faces headwinds from lower vanadium prices, which fell to around $9 per pound from $12 a year ago, and a slower-than-expected ramp-up in lithium hydroxide production at its German plant. The hedge fund manager's position suggests it expects further downside in the stock.

The Takeover Panel filing does not disclose the exact derivative instruments used or the expiration dates of the positions. Man Group, one of the world's largest publicly traded hedge fund firms, manages roughly $175 billion in assets.

AMG did not immediately respond to a request for comment. The company is scheduled to report fourth-quarter earnings in March.