Shares of the Spanish pharmaceutical company Grifols fell as much as 40% on Wall Street this Tuesday after the investment company Gotham Research published a report accusing it of manipulating its accounts. The values of the company, which is included in the Nasdaq index through ADR certificates of deposit (securities that allow foreign companies to be listed in the United States), fell more than 40 percent in the morning hours after the markets opened. According to the EFE agency, shares of the pharmaceutical company fell 21.83% to $ 8.7 per share at the close of the New York Stock Exchange.
The homonymous family-controlled multinational Grifols is a blood products giant with a large presence internationally, particularly in the United States. It is threatened by huge debts, totaling 9 billion 540 million euros in the latest available accounts for the third quarter of the year.. According to a report from New York-based Gotham Research, the company “manipulates” its reported debt and EBITDA, artificially reducing leverage “by a factor of six when we believe it is closer to ten or thirteen times.”
Special, He accuses Grifols and Scranton Enterprises (Grífols family vehicle) of manipulating his numbers He thinks this is wrong, as he has fully consolidated the companies BPC Plasma and Haema in his financial statements since 2018. The Spanish company denied the accusations in a communication to the US stock exchange auditor and assured that its consolidated financial statements and internal controls were “robust” and subject to “periodic and rigorous” annual audits.
CNMV prohibits suspension of shares
Rodrigo Buenaventura, president of the National Securities Market Commission (CNMV), the regulatory body that oversees securities markets in Spain, said:In a statement on Tuesday, he said that the organization could not ignore the accusations against the Catalan company, but also ruled out the possibility of suspending the actions..
Gotham Research became famous in Spain in 2014 by accusing Wi-Fi provider company Gowex, saying that 90% of its revenue was fake and the value of the company was zero: Following his statements, Gowex shares traded on the Alternative Stock Market (MAB) fell sharply and had to suspend trading..