Tecnoglass plunges after Hindenburg discloses short position

Tecnoglass Holdings

09/12/2021 14:01

** Shares of Colombia-based architectural glass maker
 TGLS.O  tumble 32.7% to $22.67 premarket 
    ** Short-selling specialist Hindenburg Research takes a
short position in the firm, saying https://bit.ly/3DCnv91 it has
"no faith in the company's financials" given management's past
connection with Colombia's once-powerful Cali cartel and
numerous undisclosed related party transactions
    ** Hindenburg also alleges it found parallel issues with
TGLS's capital expenditures and strongly suspects co has faked a
significant portion of its revenue
    ** Hindenburg says Tecnoglass went public via a SPAC deal in
Dec 2013, cycling through 3 auditors within roughly a 1-year
span when they specifically flagged material weaknesses relating
to the identification and reconciliation of related party
transactions
    ** Company did not immediately respond to Reuters request
for comment
    ** Four of 5 brokerages rate the stock "buy" or higher, and
1 "hold"; their median PT is $35 - Refinitiv data
    ** As of last close, stock has surged nearly 387.7% YTD 

 (Reporting by Devik Jain)
 ((Devik.Jain@thomsonreuters.com;))