Down-coat maker Bosideng’s shares fall by most on record after short seller Bonitas Research questions accounting practices
- Bosideng said in a statement that the short seller’s report contains “untrue and misleading information” as shares fell 25 per cent
Bosideng International Holdings, a Chinese clothes maker specialising in down jackets, saw its shares fall the most on record after a short seller report questioned the company’s accounting practices.
Hong Kong-listed Bosideng had overstated its revenue and profit, according to a note published on Monday by Bonitas Research.
The stock fell as much as 28 per cent within an hour after the Bonitas Research report was released at around 10:30 am. The company suspended trading at around 11:16am with its shares last changing hands for HK$1.73, down 25 per cent.
Bosideng said in a statement that the short seller’s report contains “untrue and misleading information” which does not match with the reality.
“The group maintains the right to take legal action to defend its own interests, while the company will issue clarification when needed,” Bosideng said in the statement.