The storm on Bio-On does not subside and the stock continues to suffer on the stock market. Between 1 and 2 October, the company burned 48% of its value and the new week doesn't look promising. When the markets reopen stocks face yet another nightmare day, remaining stuck in the volatility auction all morning. Once back in trading, the stock lost 18% to then meet another stop with a theoretical drop of 14% to 7,34 euros.
After the allegations of Quintessential e a half-yearly which revealed all the company's difficulties Bologna, Consob also intervened. On 2 October, the Supervisory Authority had asked Bio-On more detailed account information of the semester, closed with a record loss of 10 million. However, the clarifications do not seem to have been enough given ch, the Markets Division of Consob is allegedly investigating Bio-On to understand if the top management of the company or third parties have committed crimes of market abuse. The checks are used to find out if someone has deliberately disseminated false or misleading information in order to influence the performance of the stock on the AIM. The news was confirmed by Consob which announced that it had started checks on the stock in July after the strong positions taken by the US fund Quintessential against Bio-on.
Secondo The print, not only Consob, but also the prosecutor of Bologna, following a complaint by Bio-On itself, would have turned on a light on the matter, while Quintessential's allegations extend from the half-yearly to the relationships between the company and its subsidiaries. According to the US fund, Bio-On would have built "a house of cards" that would have allowed it to inflate accounts and sales, without actually having the basis for that boom that had surprised everyone in 2018.
Difficulties of this magnitude cannot fail to affect the performance of the stock. Last year's performance looks like a war bulletin. On 3 December 2018, the Bio-On share reached its all-time high at 69 euros per share and exceeded one billion euros in capitalisation. On 22 July we were at 55 euros per share, a huge amount compared to the 5,8 euros of the debut. Then came Quintessential. In just two sessions – from 23 to 25 July – Bio-On went from 55 to 15 euros per share. On October 48, yet another blow. The bioplastic company publishes its half-yearly report and the title falls by 83,68%, between Tuesday and Wednesday. In one year the balance is -7,34 to XNUMX euros.
(Last update at 14.44 on 7 October).
