There’s not a lot a company can do to stop Muddy Waters once the short-selling firm has targeted it. It can write
90 page defence reports, the CEO can get on Bloomberg TV and explain himself, the company can hold conference calls.
As Muddy Waters’ crusade against its latest target, Chinese company NQ Mobile has shown, the short selling firm will keep on it, and eventually, the firm will even start having fun with it.
At least that’s what it seems like.
The title firm’s latest report on NQ is downright trolly — ‘If You Believe in Yidatong, You’ll Believe in Santa Claus (NYSE: NQ)’
Not so, according to Muddy’s latest report:
NQ’s largest purported source of revenue, Yidatong (“YDT”), is controlled by NQ, and its primary purpose is facilitating NQ’s fraud. Believing NQ’s narrative of YDT — that YDT is an independent company annually facilitating billing of approximately $US35 million for a variety of developers — at this point requires investors to suspend reason. If the following does not convince an investor that NQ’s YDT narrative is fabricated, then the investor is either too emotionally invested in the stock, or is gullible enough to still believe in Santa Claus.
To whoever wrote that report headline, maybe consider blogging?