Folli says QCM report 'defamatory' after stock tumbles

Folli Follie SA

04/05/2018 11:29

ATHENS, May 4 (Reuters) - Greek luxury goods maker Folli
Follie  HDFr.AT  said a report issued by Quintessential Capital
Management (QCM) on the company was "defamatory" and damaging
its interests.
   The stock fell 30 percent on the Athens bourse  .ATG  in
midsession trading on Friday after QCM issued a report which
said that the company has overstated the number of points of
sales it operated worldwide.
    QCM, which has a short position on Folli's stocks, said in
the report that Folli had 289 points of sale instead of 630
declared in its 2016 annual report. 
    QCM, which has its headquarters in New York according to its
website, also said it was concerned over Folli's finances.
    "Quintessential Capital Management's report is unfounded,
false, defamatory and misleading which results in damaging the
interests of the firm and its shareholders," Folli said in a
stock exchange filing.
    Folli said it has ordered its legal advisers to defend its
legal rights, without specifying what that entailed.
    Folli has activities in Greece, China and other countries
around the world. It has a market value of about 1 billion
euros.
 

 (Reporting by Angeliki Koutantou
Editing by Keith Weir)
 ((angeliki.koutantou@thomsonreuters.com;))