Home / Business and Economy / Close Brothers Shares Plunge Amid Short Seller Report
Close Brothers Shares Plunge Amid Short Seller Report
17 Mar
Summary
- Close Brothers shares experienced a significant drop of 15%.
- Viceroy Research released a report, initiating a short position.
- The report questions the company's provisioning for motor finance commissions.
Shares in Close Brothers experienced a sharp decline of 15% on Monday. This significant drop occurred shortly after the release of a report by short seller Viceroy Research, which disclosed a short position against the British financial services firm. The report's central focus is on Close Brothers' approach to provisioning for motor finance commissions and the potential impact on its capital reserves.
In response, Close Brothers issued a statement expressing strong disagreement with the report's assertions. The company affirmed that its provisioning in this matter adheres to UK-adopted international accounting standards and is guided by a robust governance framework. Investors are awaiting the company's half-year results, scheduled for release on March 17, 2026, for further insights into its financial standing.
