Steven Nathan talks on an array of topical investment news with ‘the great Steinhoff debate’ between Bernard Mostert and Piet Viljoen taking centre stage.
Short-seller Viceroy Research is subject to a R50m fine from the FSCA for making ‘false, misleading and deceptive statements’ about Capitec.
Both NEPI Rockcastle and Viceroy have offered rebuttals to each other in what is increasingly turning out to be an ugly fight.
Viceroy Research, a short-seller that has targeted two South African companies this year, is profiting unethically from its reports and has escaped sanctions from local regulators because it is domiciled elsewhere.
After Steinhoff and Capitec, another South African JSE-listed company has found its way into Viceroy’s sights.
Capitec’s share price dropped 21% in two days after the Viceroy report was made public and has bounced around these lower levels for the the past six weeks as Viceroy and Capitec traded statements publicly.
Depending on which company Viceroy targets as its next short, it could determine whether they go down in history as a one-trick pony, or not.
This week the Old Firm of Alec Hogg and David Shapiro continue their talk on Viceroy, and share differing opinions on SA’s turn around.
Researchers build reports, some positive to encourage investors to go long, others the complete opposite. Viceroy is a short seller, so it targets overvalued companies.
It’s now common cause that the report circulated by Viceroy Research brought down the 90 000 employee-strong Steinhoff.