Muddy Waters says Rallye news is vindication of its warnings

Finatis SA

24/05/2019 06:59

PARIS, May 24 (Reuters) - Short-seller Muddy Waters said on
Friday that news Rallye  GENC.PA , the parent company of French
retailer Casino  CASP.PA , had been placed under protection from
creditors was "a resounding vindication of the warnings we
sounded".
    In 2015, Muddy Waters criticized Casino's complex structure
and accounting practices, saying the supermarket retailer was
"dangerously leveraged", and managed for the short-term.
    The firm has rejected the criticism. A spokesman for Casino
declined to comment on Muddy Waters statement when contacted by
Reuters.
    Paris commercial court on Thursday placed Rallye, the
majority shareholder of Casino, which is battling investor
concerns over its high debt, under creditors' protection for at
least six months.  urn:newsml:reuters.com:*:nL5N22Z67W
    
    
    

 (Reporting by Dominique Vidalon, additional reporting by
Richard Lough; editing by Leigh Thomas)
 ((dominique.vidalon@thomsonreuters.com; +33149495432; Reuters
Messaging: dominique.vidalon.reuters.com@reuters.net))