Gotham City InvestigationThe bearish fund, made famous a decade ago when the tech company discovered the shortfall in Gowex, has once again caused convulsions in the Spanish stock market, but is now targeting Ibex 35 directly. The organization condemned the allegations of manipulation. from their accounts grifols pharmaceutical This makes the value of their shares directly zero. The Gotham report caused a massive flight of investors and a collapse in the stock market value of the Catalan group.
Gotham’s action is not neutral, but was prompted by the release of the report on Grifols The fund deliberately aims to cause the stock market to fall and make a profit With this. General Industrial Partners (GIP), a fund controlled by Gotham’s founders and Portsea Asset Management fund, notified the National Securities Market Commission (CNMV). Downside position equivalent to 0.57% of Grifols’ capital and it could bring you a million-dollar booty. The company openly admitted in its report that it had borrowed money from the company.
ordinary operations of decline funds The fund sells the shares owned by other partners in the company at the list price by borrowing money and promises to buy them back and return them to their owners after a certain period of time. The bear fund makes a profit if it manages to buy back the shares at a price lower than the price at which it sold them, and it does so in the event of a decline in the stock market value of a stock. The more the stock market crashes, the more profit increases betting against a company.
According to the CNMV registry of Gotham and its partner Portsea, the 0.57% downside position determined yesterday had a price of more than 34.5 million euros based on the price of Grifols shares listed on the Ibex 35 (type A). The closing of this Monday trading session or 49.6 million euros if the preferred shares (type B) of the continuous market are also included.
After learning the contents of the report questioning the blood plasma manufacturing company’s results and debt, Ibex shares (Class A) fell more than 42% at the beginning of the trading session. Those on the market today and continuously (Class B) have fallen by more than 35%.
The collapse would allow Gotham and his partner to receive a reward. Theoretical profitability between 15 million and 21 million euros (depending on the total capitalization taken into account depending on the share type) is the difference between the price at which the shares closed yesterday and the minimum price at which they fell this Tuesday. However, since the exact operation of the drawdown position or the prices at which the shares were assumed and ultimately sold are not known, the profitability of the operation carried out by Gotham cannot be accurately calculated.
CNMV records also show that the Ako Capital fund has open positions in Grifols. In this case, the company reported to the CNMV yesterday a reduction in its bearish position, currently down from 0.55% to 0.41%. Therefore, Ako sold some of these shares in a bearish position ahead of the crash in today’s session. The firm’s short interest reached 1% last February, almost a year ago, and has been fluctuating up and down ever since.