DocGo 'rejects' short-seller Fuzzy Panda's report, shares up

DocGo

10/01/2024 21:30

(Updates)
    ** Shares of healthcare services company DocGo  DCGO.O 
reverse losses to rise ~1.7% to $3.04 in extended trade  
    ** DCGO "categorically rejects" Fuzzy Panda Research's
report saying the short-seller uses "old, public information to
present an overall picture of DocGo and its business that is
false, misleading and defamatory" 
        ** DCGO says it intends to issue a cease-and-desist
letter to the firm and explore all available legal means to
respond    
        ** Co's stock hit record low in regular trading on
Wednesday after Fuzzy Panda Research disclosed a short position
in DCGO, said billing practices amounted to Medi-Cal and
Medicare fraud, citing former employee
    ** Short seller says it discovered that firm terminated
whistleblowers "who spoke up against alleged 'illegal acts' or
offering payments that appear to amount to bribes"
    ** Co also forecasts 2024 revenue to exceed $700 mln, vs.
analysts' estimate of $760.2 mln -LSEG data    
    ** Stock fell ~21% in 2023

 (Reporting by Akash Sriram and Mariam Sunny in Bengaluru)
 ((Akash.Sriram@thomsonreuters.com; https://twitter.com/hoodieonveshti;))