Adler says it will remain shut out of financial markets until audit completed (updated)

Adler SA

02/05/2022 13:06

(Adds details, context)
    FRANKFURT, May 2 (Reuters) - German landlord Adler  ADJ.DE 
will remain shut out of banking and capital markets until its
financial statements have been audited, the company said on
Monday after its board of directors resigned amid an accounting
investigation.
    Short seller Fraser Perring's Viceroy Research said in
October that Adler's balance sheet had been artificially
inflated, prompting German financial watchdog BaFin to examine
the company's financial reports.  urn:newsml:reuters.com:*:nFWN2R40RS urn:newsml:reuters.com:*:nL8N2UL5T7
    Adler, one of Germany's biggest real estate companies,
rejected Viceroy's allegations and appointed auditors CBRE and
KPMG to carry out an investigation. 
    However, Adler said in March that KPMG did not have enough
evidence to disprove all of the claims made against the company
and the auditor had declined to give an opinion on its 2021
report.  urn:newsml:reuters.com:*:nL2N2VD2D1 
    Adler also aims to get an audit for 2022, Chairman Stefan
Kirsten told a news conference on Monday following the board's
resignation on Saturday. 
    "We will, of course, deal with the issue. That is the duty
of the board. But I don't see anything there at the moment that
I can comment on," he said.
    Kirsten also said that Adler has around 0.5 billion euros
($526.20 million) in cash and cash equivalents, was still
legally able to pay dividends and would decide on the 2021
payout to shareholders in mid-May.
    "We have no worries at this point," the chairman said.

($1 = 0.9502 euros)

 (Reporting by Zuzanna Szymanska, Editing by Miranda Murray,
Kirsten Donovan)
 ((zuzanna.szymanska@thomsonreuters.com; +49 30 4036 18603;))