Burford and London Stock Exchange set for court fight showdown in April

Burford Capital and London Stock Exchange Group are set for a showdown in the High Court on April 1.

The litigation funder says its shares were manipulated illegally in a short attack by US hedge fund Muddy Waters on August 7. Burford wants the LSE to hand over data showing names of traders who traded its stock on the day.

But the LSE disagrees with Burford’s application and said the matter is one for the Financial Conduct Authority.

Burford has bought trading data from the London Stock Exchange showing volumes and times of trades, but releasing traders’ identities requires permission from the High Court.

Traders can spoof the market by placing a high volume of sell orders into the market at a price below the offer price and then cancel the trade. Repeatedly doing this drives down the share price and the activity is illegal.

Burford has previously stated that once it has the names it will launch legal action against those who it believes manipulated the stock.