By Samuel Indyk
Investing.com – Shares in THG (LON:) were choppy in early trade on Wednesday after the company released a statement to the London Stock Exchange regarding Tuesday’s share price movement. Shares dropped by almost 35% on Tuesday after the company’s Capital Market event.
The company said it “knows of no notifiable reason for the material share price movement, and that no material new information was disclosed at the event.”
Shares were volatile in early dealings on Wednesday, initially rising as much as 9% before paring gains and falling by over 10%.
The group reiterated that its revenue grew 44.7% YoY in the first half of the year while adding that it has a very strong liquidity position as it enters peak trading season. The company said it had £700.0 million of available cash as of 30th September 2021.
Capital Markets event
Tuesday’s Capital Markets event was held as the company’s share price had dropped over 45% from its all-time high in January. After yesterday’s decline, the company’s share price has dropped by around two thirds.
It appears City investors were disappointed with the company’s presentation where Matthew Moulding, the company’s CEO, said the group was under a “short attack” from hedge funds. According to data from IHS Markit, just under 2% of its shares are on loan to short-sellers, the Financial Times reported.
AT 09:55BST, shares in THG were trading higher by 0.7% at 286.4 pence per share.
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