Sept 9 (Reuters) - British IT outsourcing firm Quindell Plc QPP.L said on Tuesday it had won a libel lawsuit against U.S.-based short-seller Gotham City Research LLP, which had raised questions about the company's revenue model and profit quality.
Quindell, which initiated legal action against the short-seller in April, said that following the High Court ruling in London the process to evaluate damages due to the company would begin in November.
Shares of Quindell jumped 11.5 percent to 184 pence in early trading, one of the biggest rises on the London Stock Exchange.
The stock had lost 72 percent of its value since Gotham City published a report on its website in April.
"We are pleased that following the co-ordinated shorting attack led by Gotham and others, we have been able to successfully win judgement from the High Court in our claim for libel against Gotham," Quindell Vice Chairman Tony Bowers said in a statement.
Short-sellers borrow stock and then sell it in expectation the price will fall, aiming to cover their position at a profit.
Gotham City published a similar report in July on Spanish wireless network provider Gowex GOW.MC, questioning its revenue reporting and the competence of its managers.
Gowex said a week later it would file for bankruptcy, after its chief executive said the company's accounts for at least four years were unfaithful and that he was responsible for the misrepresentation.
(Reporting by Abhiram Nandakumar in Bangalore; Editing by Mark Potter)
FIND OUT MORE ABOUT 'BEN Latest News'
'Like us on Facebook'
http://www.facebook.com/pages/BEN-Latest-News/443681719077160
'Follow us on Twitter'
www.twitter.com/benlatestnews
For Advertisment and Partnering with us contact CEO on BB PIN: 260158B5
BEN Latest News™
Tuesday, 9 September 2014
Home »
» TECHNOLOGY Quindell wins libel lawsuit against short seller
TECHNOLOGY Quindell wins libel lawsuit against short seller
18:02
No comments
Related Posts:
#TOPNEWS Photos: Inside Michika town recaptured from Boko HaramHere are new photos from Michika, Adamawa state which was retaken from Boko haram by Nigerian troops in January. Many of the residents who had been in one IDP camp or the other are gradually returning home. More photos after… Read More
#CONGRATULATIONS Davido welcomes his first child, a baby girlYesterday, Davido shared this photo of a hand holding a baby, it was his own way letting y'all know what is happening to him without saying much. I went to find out and yes, he's a dad! This is fact, not rumor! And I hear he… Read More
#LIFESTYLES 'I am capable & strong to do what young people do' - Gov OshiomoleBarely 24 hours after his wedding to Cape Verde beauty, Iara Fortes, Edo state Governor, Adams Oshiomole participated in the annual 10kilometers Okpekpe road race alongside top Edo personalities, Nollywood artistes and others… Read More
#POLITICALNEWS Photos from Luxembourg's Prime Minister's wedding to gay partnerAlthough the exchange of vows was a private affair between select family and friends, Luxembourg Prime Minister, Xavier Bettel and his partner Gauthier Destenay, came out to wave to citizens of the country after they got marr… Read More
#CONGRATULATIONS Photos: MC Galaxy collects his brand new 2015 Prado SUV from Gov AkpabioMC Galaxy today May 16th collected a brand new 2015 Prado from his governor, Akwa Ibom state governor, Godswill Akpabio. The governor had pledged the car to him during his album launch in the state on May 2nd. The car was pre… Read More
0 comments:
Post a Comment