China-based electric car marker NIO plans to form an independent committee to oversee an investigation regarding allegations made by Grizzly Research.
On June 28, Grizzly Research, a self-declared a short seller, alleges that Nio has overstated its revenue, among other reasons cited for shorting the stock.
The committee was formed “in order to protect the interests of all shareholders.
Nio’s independent committee consists of independent directors Denny Ting Bun Lee; Hai Wu, and Yu Long.
“The independent committee has retained independent professional advisors to assist with the Independent Investigation, including an international law firm and a well-regarded forensic accounting firm,” says Nio.
“The company reiterates its continued and unwavering commitment to maintaining high standards of corporate governance and internal control, as well as transparent and timely disclosure in compliance with applicable rules and regulations,” adds Nio.
See also: Tesla flags 'notably lower' growth as it builds low-cost car
Nio is listed on the New York Stock Exchange, Hongkong Exchange and Singapore Exchange.
Nio’s SGX quoted shares closed at US$22.23 on July 8.
