Activist investor Carl Icahn’s investment firm, Icahn Enterprises LP, saw a nearly 20% drop in its shares on Wednesday, following a 20% decline the day before, after short seller Hindenburg Research released a scathing report on the company. The stock hit an intraday low of $31.78, its lowest in over a decade, and has fallen almost 39% since the report’s release. Hindenburg accused the company of overvaluing its holdings and using a “Ponzi-like” structure to pay dividends, while Icahn called the report “self-serving.”
The attack has put the famed corporate raider in uncharted territory. Icahn, known for his confrontations with industry giants like McDonald’s Corp, has rarely found himself on the wrong side of an activist feud. However, Hindenburg has targeted several high-profile companies in recent months, including India’s Adani Group and Jack Dorsey-led Block Inc.
Since the report’s release on Tuesday, Icahn’s fortune has decreased by $7.5bn, leaving him with a net worth of $10.8bn, according to Forbes.
2023-05-03 12:00:03 Icahn’s investment firm plunges, down 39% since Hindenburg report
Post from www.aljazeera.com
