GeoInvesting, while claiming not to have a short position on Sino Grandness, devoted ample time and other resources on the ground in China to put together a negative report on the company. Last Wednesday (Oct 26), its report "Is This Singapore Listed Company Rotten At Its Core?" started to become widely circulated in the market.
As the stock trading turned volatile and unusually active, Sino Grandness decided to halt the trading the next morning while it delved into GeoInvesting's report and prepared a rebuttal.
Sino Grandness this evening issued a detailed rebuttal of GeoInvesting's report, "strenuously refuting allegations" in the report and calling GeoInvesting's conclusions "mischievous and reckless".
The full Sino Grandness rebuttal is published on the SGX website.
Trading of the stock will resume tomorrow morning.
|In the conclusion section of its rebuttal, Sino Grandness said:
W hile we respect the right of our shareholders and the public to raise their concerns and queries regarding the published results and performance of the Group, the matters stated in the Report has gone beyond fair comment and are misleading.
"While GeoInvesting claimed to have acted on information obtained from public sources, they have drawn conclusions which are mischievous and reckless.
"We wish to reiterate that our accounts have been prepared in accordance with Singapore Financial Reporting Standards (“SFRS”) and audited by external auditors Foo Kon Tan LLP, and there has been no qualification in their reports over the years.
"The Company and the professionals named in the Report reserve the right, and will be taking legal actions on the advice of its legal counsel to defend their rights and reputation.
"The Board of Directors of the Company collectively and individually accepts responsibility for the accuracy of this announcement."