A US-based company known for accusing big businesses of fraud is shutting down. Hindenburg Research, led by founder Nate Anderson, made headlines with its controversial reports, including one that accused India’s Adani Group of financial wrongdoing.
Anderson announced that he’s closing the firm after almost eight years, explaining he wants to spend more time with family and friends.
Hindenburg gained attention for exposing potential frauds, leading to billions of dollars in losses for companies across the globe.
One of their biggest reports, in 2023, accused the Adani Group of stock manipulation and accounting fraud. The Adani Group denied the allegations, calling them false. Despite the claim, the company lost $108 billion in value initially, although it later recovered.
Anderson’s firm also questioned other companies, including electric truck maker Nikola in 2020, where its founder was convicted of fraud.
Despite the controversial nature of their work, Anderson stated he plans to share the research methods Hindenburg used.
Hindenburg Research had become well-known for short-selling, a method where companies bet against stocks they believe are involved in fraud.
They sell stocks they don’t own, hoping to buy them back later at a lower price. According to BBC, Anderson hopes to make their investigative process more transparent in the future.
Credit : BBC
https://www.bbc.com/news/articles/cx2jyrzg99yo