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Gowex to take action against critical Gotham City report

2014-07-02 09:08:00| Telecompaper Headlines

(Telecompaper) Spanish wireless internet services provider Gowex has pledged to take legal action against US research firm Gotham City Research, accusing it of spreading false rumours about the company to push down its share price. Gowex shares ended the day 46.2 percent lower, after plummeting as much as 61 percent following the publication of the Gotham City report accusing Gowex of overstating its sales and operations. Based largely on circumstantial evidence, the research firm said that "actual" revenue from Gowex is at most 10 percent of its reported figures, which were EUR 183 million in 2013, and that around 90 percent of its telecoms revenue "originated from undisclosed related parties". Gowex said the claims were "categorically false", and that it "would not hesitate to take legal action" against those responsible.  "From a non-signed document, the only objective sought by Gotham City Research LLC is deliberate damage both to the share price and to Gowex's image for its sole benefit," added Gowex in a statement.

Tags: city report action critical

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