GigaCloud Technology (NASDAQ:GCT) experienced a 6.5% increase in its stock price on Thursday after issuing a statement refuting a short report from Grizzly Research. The Chinese e-commerce company accused the short-seller of making defamatory, inaccurate, and misleading statements in its report.
The report contained allegations about related party transactions, which GigaCloud denied, stating that there was no merit to these claims. The company is currently evaluating the claims made in the short-seller report and is prepared to take appropriate measures to defend itself. Despite experiencing a 20% decline in its stock price on Wednesday due to the report, GigaCloud was able to recover some of its losses and ended the day with a 5.2% decrease.
Currently, GigaCloud Technology has a short interest of 17.5% of free float. The company remains committed to addressing any concerns raised in the short report and continues to monitor the situation closely.
