Nepi Rockcastle weighs legal action against controversial research unit Viceroy
Controversial research house Viceroy could face legal action after sending the share price of the JSE’s second-largest property company, Nepi Rockcastle, into a tailspin last week. Alex Morar, CEO of Nepi Rockcastle, one of the companies caught up in the share-trading scandal that engulfed the Resilient group of companies earlier in 2018, said the Central and Eastern European shopping mall owner might sue Viceroy following the research firm’s report last Wednesday in which it accused his company of inflating its profits.
This sent Nepi’s share price down 14% to R99, wiping R9bn off its market capitalisation. Most of Nepi Rockcastle’s 14% drop was recovered on Thursday after Morar and CFO Mirela Covasa released a detailed statement that argued Viceroy had not understood the differences between Romanian and international financial reporting standards (IFRS). They also said Viceroy had made no attempt to interview anyone at Nepi Rockcastle. Morar maintained Viceroy had a destruc...
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