Property firm wants Financial Sector Conduct Authority to find out how short sellers and others weakened share price and cost investors more than R100bnFortress, one of the former members of the Resilient stable of property companies, says the Financial Sector Conduct Authority must now ascertain how short sellers and asset managers deliberately weakened its share price in 2018, costing investors more than R100bn.
The report followed an independent investigation led by PwC that began at the end of November 2018, following a sell-off of more than R100bn in shares of Fortress, Resilient, Nepi Rockcastle and Greenbay . During the sell-off the four companies’ shares, which began in January 2018, various reports were released by or leaked from hedge fund and asset managers, in which allegations were made that the companies were trading at premiums to their net asset values, which were unrealistic, and that the companies’ profits had been inflated artificially.