“As we and many other US-based short sellers have discussed in public interviews for years, our model involves investing our own capital and sometimes also bringing on a balance sheet partner.
This is one of the most common business models in our industry, it is fully compliant with all applicable laws, and we disclose this in our reports,” he added.
The 40-something son of a university professor and a nurse, Nathan (Nate) Anderson on January 15 issued a personal note that Hindenburg Research was being wound up after it “finished the pipeline of ideas we were working on.”
The Connecticut man, who worked for 10 months as an ambulance driver in Israel, studied international business, finance, and accounting, managed money for the rich, believed he could make money by exposing corporate corruption.
Hindenburg, founded in 2017, placed bets against the companies it was researching.
And it made money when stock prices of its targets tumbled on disclosure of fraud and other abuses that it unearthed through deep forensic financial research.
It however made surprisingly little money — just over USD 4 million — from the report on billionaire Gautam Adani’s sprawling business empire in January 2023.