The National Securities Market Commission (CNMV) informed investors this week that it reviewed the Gotham City Research report on Grifols and evaluated the company’s responses and the data presented. The regulator clarified that the action taken was not a suspension of trading but a mismatch in buy and sell orders. A CNMV source stated, “We do not suspend services simply because a listed share moves sharply. Trading halts occur when there is no market information or when information is still pending dissemination.” They added that the Gotham City Research report is already public and available to the market.
Earlier this week, Gotham City Research released a critical analysis targeting Grifols, a Catalan pharmaceutical company. The report began circulating on Monday and contributed to a sharp opening decline in the Ibex 35 index, with losses reaching around 30 percent. The document accuses Grifols of accounting manipulation and of masking a portion of its debt. Gotham City Research is the same firm that previously faced credit issues tied to Gowex about ten years ago, a case that drew significant scrutiny and led to legal proceedings against its founder, Jenaro García.
The report claims that Grifols’ leverage is excessive, suggesting the company relies on six times EBITDA while the market appeared to expect a lower debt load. It also questions the finances of Scranton Holding, a related entity associated with Grifols’ ownership group, which holds a notable stake in the company. The document argues that the financial statements presented to investors may mislead and that the true financing costs could be higher than those reported. According to Gotham City Research, if its debt estimates are correct, the company would face substantial financing pressures and the shares might be mispriced in the market.
Grifols responded by rejecting the Gotham City Research report, labeling the claims as misinformation and speculation. The company emphasized a commitment to transparency, corporate governance, and ethical standards, stating that there were no inaccuracies in its consolidated financial statements. Grifols also noted that it would continue to provide full, accurate disclosure to maintain investor confidence and protect market integrity. The firm’s rebuttal appeared in a related CNMV-related publication, reaffirming its stance against the allegations and underscoring its ongoing dedication to clear communication with stakeholders.