The UK's Financial Conduct Authority (FCA) is making enquiries into a short-selling report written by US activist investor Muddy Waters concerning litigation financier Burford Capital. On 6 August, Muddy Waters announced over Twitter an upcoming short attack on an undisclosed company. Reporting by Simon Jessop; Editing by Rachel Armstrong Burford's shares fell 19% the day of the tweet. Muddy Waters then released a report on 7 August critiquing the litigation finance firm's accounts and management. Burford's stock fell a further 46%. In response to this news, Muddy Waters' CEO John Rogers issued a statement saying that he was "shocked at the allegations made against our firm in today's press release".
The UK's Financial Conduct Authority (FCA) is making enquiries into a short-selling report written by US activist investor Muddy Waters concerning litigation financier Burford Capital. On 6 August, Muddy Waters announced over Twitter an upcoming short attack on an undisclosed company. Burford's shares fell 19% the day of the tweet. Muddy Waters then released a report on 7 August critiquing the litigation finance firm's accounts and management. Burford's stock fell a further 46%. In response to this news, Muddy Waters' CEO John Rogers issued a statement saying that he was "shocked at the allegations made against our firm in today's press release".