Quindell simply quizzical over its sliding shares
EMBATTLED insurance outsourcer Quindell is baffled by another decline in its share price, it announced in a statement to the stock market yesterday, after shares fell 13 per cent last week.
The company said in its statement yesterday that it “notes the recent share price performance and confirms that it knows of no reason for such falls”.
The statement helped, pushing Quindell’s share price back up 4.7 per cent to close at 143p in London.
“There have been a couple of mis-rumours floating around, specifically that Quindell is coming under competitive pressure in telematics and around its decision to change the date it is paying staff… to try and suggest this is a sign of anything is wrong as they are merely standardising the date they pay employees… the rumours are a non-issue,” Cenkos analyst Andy Bryant told City A.M.
Investors in the professional services and digital solutions company have faced a challenging period, with shares falling by 53 per cent since their June high of 307.5p.
The company was attacked in April by shadowy analyst and short seller Gotham City Research, which accused it of being a “country club built on sand” whose shares were worth just 3p.
Having reported encouraging half-year results for the six months to 30 June, including a 119 per cent increase in revenue to £357m, at the beginning of this month Quindell won its libel claim against Gotham City.
The company is due to release details on trading for the quarter ending 30 September on or before 15 October.