Stock market flops are in short-sellers’ sights

view original post

Short-sellers are targeting two of the highest-profile recent flops on the London stock market., an online furniture seller, and Alphawave, a technology group, were among businesses that were listed in London last year. However, unlike other debutants, such as Dr Martens, the boot company, and Oxford Nanopore, the biotechnology business, that have surged above their float prices, shares in and Alphawave languish below their initial public offering levels.

Disclosures to the Financial Conduct Authority show that three hedge funds — GLG Partners, which is part of Man Group, Ennismore and BennBridge — have built short positions against, signalling that they expect its shares to fall further. Five short-sellers, including Tiger Global Management, an American hedge fund, took bets against Alphawave,