Activist investment fund Blue Orca Capital says Nasdaq-listed developer and operator of data centres, GDS Holdings, is another Chinese company whose financial accounts do not add up.
If the Texas-based short-seller's allegations prove to be true it will be painful for GDS's equity investors and creditors, which include Singaporean state fund Temasek.
It could also mean egg on the face for early investors in GDS including the International Finance Corp and Japan’s Softbank.
GDS’s stock hit a high of $45.72 on July 14, up over 400% since its IPO in November 2016 at $10. Blue Orca values GDS’s...