Weeks After Hong Kong Offering, Miniso Shares Tank on Short-Seller Attack

Chinese household and consumer goods retailer Miniso Group Holding Ltd. saw its share prices plunge after a short-seller alleged it lied about its business model, siphoned investor cash to its chairman, and is concealing poor financial performance.

On Tuesday, Texas-based Blue Orca Capital published a report alleging that at least 620 Miniso stores in China are secretly owned by company executives or individuals linked to Chairman Ye Guofu. Miniso claims that virtually all its roughly 3,000 stores in the country are run by franchisees.