There appears to be number of forces working against TGR today.
Old friend ABC is always there on TGR's side.
According to AFR article (9pm last night) an ABC show questioned TGR's non-disclosure of Listeria contamination detected at a Queensland warehouse on February 11. CEO Mark Ryan's response to that has been that it was "not material". Reason being just 2 tonnes of product found to be contaminated (before they were released to market) out of 30,000 tonnes. AFR author did not forget to add the adjective "deadly" in front of Listeria. The article also mentions "Ryan's unusually testy interactions with JP Morgan analyst Jolyon Wellington on the conference call... Wellington is unusually bearish on Tassal and until recently had a "buy" on its competitor Huon Aquaculture Group." Author also reminded that Ryan has recently sold a big chunk of his holding.
Then there were three announcements from CS on 18, 21 & 22 March. They showed CS was armed with humongous amount of borrowed shares ready to short the pants out of TGR. But market did not seem to take any notice and CS returned most of those borrowed shares.
So market now is adding up all those. The prawn story is expected to remain out markets memory while this plays out.
TGR Price at posting:
$4.56 Sentiment: Hold Disclosure: Held
