Profil:
CCC SACCC fashion retailer shares drop sharply after Ningi Research publishes short report
Listed footwear and clothing group CCC's shares fall as much a 9.2 percent at 10:20 local time, the most in two weeks, after Ningi Research issued a short report which suggests that the CCC turnaround is a falsely engineered “illusion.”
According to Ningi Research, CCC is a "façade built on aggressive accounting games, undisclosed related-party dealings, and a large-scale channel-stuffing scheme."
"The company’s financial performance appears artificially inflated through transactions with insolvent, insider-controlled entities, masking deep operational and strategic weaknesses. In our opinion, CCC’s equity is severely overvalued, and the company faces material risks," the researched said in the report.
Ningi Research states on its website that it publishes reports on companies listed on stock exchanges in the United States and Europe, and that its research focuses primarily on forensic accounting.
At the time of publication, PAP Biznes had not received a comment from CCC.
pel/ ao/ han/