Folli Follie Owner Shares Slump as Short Seller Questions Reach
- Company says claims are ‘false’ and may take legal action
- Bonds drop after QCM report; Oceanwood also bet against firm
Photographer: Kostas Tsironis/Bloomberg
This article is for subscribers only.
Greek retailer FF Group’s shares slumped 30 percent on Friday after a hedge fund said it was shorting the stock because its Folli Follie chain may only have half the reach outlined in its last annual report. The company refuted the claim.
Quintessential Capital Management told a conference in New York on Thursday that Folli Follie may be operating 289 outlets, compared with a tally of 630 outlined in financial statements to the end of 2016, prompting the shares to slump the next day.