Samsonite, the world’s biggest luggage maker, has been accused of indulging in questionable accounting practices and poor corporate governance.
On Monday, following the accusation of a short seller that Samsonite has been party to poor corporate governance and had engaged in questionable accounting practices, trading in its shares came to a grinding halt.
Samsonite, the world’s biggest luggage maker, has yet to make a statement to the Hong Kong Stock Exchange, following the accusations.
Samsonite lost nearly a fifth of the market capitalization in the previous two trading days after Blue Orca Capital on Thursday questioned its accounting practices, including the ones used in its 2016 acquisition of the Tumi brand.
Terming the allegations as “one-sided” and “misleading” Samsonite, one of the most high-profile companies to be listed in the Hong Kong stock exchange, was targeted by a short-seller.