I think this fits this thread:
Chattem Gets Retraction From Hedge Fund
posted February 24, 2003
Chattem, Inc. (NASDAQ:CHTT), the Chattanooga-based leading marketer and manufacturer of branded consumer
products, announced today that it has "demanded and received a
retraction of a false statement issued by a hedge fund which had
engaged in the short selling of Chattem common stock during January,
2003."
Short sellers invest by borrowing stock and selling it in hopes
that it will decline in value and they can buy it cheaper later, Chattem officials said.
The firm, Barbary Coast Capital, issued a statement to its limited
partners stating that Chattem "confessed that its growth by
acquisition strategy is not working."
Chattem officials said, "Chattem has never made such a statement, and in fact has stated it continues to seek to acquire niche over-the-counter drug and toiletry brands. Chattem has acquired some 10 brands over the past seven years, including most recently the successful acquisition of Selsun Blue(R) dandruff shampoos in March
2002."
Barbary Coast Capital has now issued a statement to its limited
partners that "We want to retract the statement made in our January
letter regarding Chattem, Inc. Chattem, Inc. did not confess that its
strategy of growth by acquisition was not working, and we have had no
discussions with anyone at Chattem, Inc. regarding this strategy."
Chattem officials said, "This statement was issued upon a demand from Chattem that the earlier false statement be retracted. Chattem was assisted in the matter by NASDAQ Market Surveillance. Chattem has also forwarded the matter to the Securities and Exchange Commission Enforcement Division." |
