PharmaCielo refutes short-seller claims, shares audit results

Mugglehead, March 23, 2020, By Nick Laba

Colombian cannabis producer PharmaCielo Ltd. (TSXV: PCLO and OTCQX: PCLOF) has released the results of an audit refuting the numerous, damning claims of malfeasance brought against it by short-seller reporting group Hindenburg Research. … In a lengthy response Monday, PharmaCielo detailed the results of an audit that has investigated Hindenburg’s claims.

“After nearly three weeks of exhaustive review, the Independent Review found that the conclusions drawn by Hindenburg Research have almost no basis in fact,” reads a section penned by audit committee chair Douglas H. Bache. “The report is salacious, and the analysis underpinning Hindenburg’s conclusions is careless and therefore nearly wholly inaccurate.” …

In addition to responding [point by point] to the short-seller claims, the cannabis producer went so far as to invite the writers of the Hindenburg report to inspect its facilities once the global coronavirus pandemic has calmed.

PharmaCielo says its in-house counsel and external legal team are “looking into this matter and assessing the various legal remedies that are available.”

Hindenburg Research did not respond to a request for comment by publication time.

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