Key facts
- Pentwater Capital Management will pay $650 million to Avis Budget Group.
- The settlement resolves claims of violating federal rules on short-swing profits.
- Short-swing profits are gains from insider trading within a six-month window.
- Pentwater disclosed a 9% stake in Avis in December 2025.
Pentwater Capital Management has agreed to pay $650 million to Avis Budget Group to settle claims that it violated federal rules concerning short-swing profits. This payment represents the largest loss incurred by Pentwater in June. Short-swing profits are defined as profits made from the purchase and sale of a company's stock by an insider within a six-month period. Pentwater had previously disclosed a 9% stake in Avis in December 2025.