5H·

Correction?

$TMDX (-8.01%) is on my watchlist, but what is the reason that it is falling like this? Does anyone know?

14 Comments

I was also struck by the blow. A few days ago, @BamBamInvest was still promoting Transmedics (understandable and justified given the facts in its report). Now Scorpion Capital is launching a serious attack against $TMDX and mentioning it as a short! ... "We are short $TMDX TransMedics. The report is now live at https://scorpioncapital.com. We plan to file a citizen petition with the FDA soon as well. Walk Like An Egyptian: a "mafia-style" extortion, racketeering and organ trafficking scheme masquerading as a medical device company - fueled by kickbacks, billing fraud, unreported device failures and off-label abuse on a massive scale; triggering a customer exodus and a rapidly unfolding death spiral. Target price: $0."

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0LIV3R@PIXELINVESTOR

I did a Google search: Scorpion Capital is a US-based short-seller hedge fund founded in 2020 by Kir Kahlon, a former employee of Tiger Global Management. The company specializes in aggressive short selling by publishing detailed, often shocking reports accusing companies of serious misconduct. The aim of these reports is to depress the share price of the targeted companies in order to make a profit from the short positions. Scorpion Capitals has probably already done this several times - and made money from the short positions. For example, against QuantumScape (2021), Ginkgo Bioworks (2021) and Prothena (2022). The result: some companies were able to defend their reputation and limit the fall in the share price. In some cases, the share price remained depressed in the long term, even if the allegations were not proven. In any case, the reports almost always lead to short-term price slumps - as has happened recently...
So far, Scorpion Capital has not been officially punished or prosecuted for market manipulation. However, Scorpion Capital operates in a legal gray area and is being targeted by US regulatory authorities.

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