by winston » Fri Dec 02, 2016 7:55 am
not vested
CT takes hit
by Esther Yu
Shares of CT Environmental Group (1363) dived 22 percent to HK$1.46 after resuming trading yesterday, after short seller Glaucus Research posted a second report blasting its clarification.
Glaucus released the first report on CT Environmental, which primarily engages in industrial wastewater treatment and hazardous waste disposal in China, on November 23, accusing the firm of exaggerating its reported revenues and profitability. CT Environmental had halted trading since that.
CT Environmental then in a filing yesterday said Glaucus' report applied incorrect data; made incorrect assumptions and had failed to understand the company's business model.
But Glaucus fought back: "It attempts to rebut black-and-white data with assertions unsubstantiated by any documentary evidence," it said.
"Where CTEG has no answer to the damning evidence presented in our report, [it] simply misconstrues our argument in a misguided attempt to confuse investors. Where CTEG is not trying to confuse, it wholly ignores inconvenient facts and evidence."
Source: The Standard
It's all about "how much you made when you were right" & "how little you lost when you were wrong"