NINGI Research is short Northern Data AG (Ticker: NB2) because the company defrauded investors and acted in a fraudulent way to enrich a small group of shareholders and company insiders, which led to concealed insolvency.
With the help of several holding companies major shareholders Marco Beckmann, Christian Angermayer, Mike Novogratz and Brendan Blumer as well as company insiders Aroosh Thillainathan, Andreas Lange and Stefan Sickenberger
- used related party acquisitions and exclusive capital increases to enrich themselves of >900 million euro and
- affiliates and related companies,
- aggressive revenue accounting,
- forged financial statements,
- concealed related-party transactions and hidden shareholder structures and
- excessive ad-hoc communication,
to pump and dump the company’s stock.
This was done by
- not disclosing related-party transaction and shareholder structures in regards of the Whinstone acquisition
- initiating and participating in related-party transactions to forge revenue with Decentric Europe B.V. and Bitfield N.V.
- using related party companies to pose as future customers (e.g. Block.one and Innoplexus AG)
- not disclosing hidden backers in related-party transactions and companies (e.g. SBI Crypto, GMO Internet, Block.one, Apeiron Investment Group, Beckmann Capital, Aroosh Thillainathan, Andreas Lange and Stefan Sickenberger)
- overstating future benefits of target companies owned by related parties and hidden backers (e.g. Whinstone, Decentric Europe and Bitfield)
- using aggressive accounting methods in connection with non-disclosed objectives in its annual report to recognize revenue prematurely within the Northern Data Group
- breaching accounting standards in the acquisition of Decentric Europe and prior to that
- forging financial statements to overstate assets and understate liabilities within the Northern Data Group
- particular shareholders solely participating in capital increases (Block.one and Apeiron Investment Group) for their own benefit
- using excessive ad-hoc announcements to boost share prices
- diluting the company’s stock from 7.4m to 23.8m shares through several capital increases
In the end all those actions led to that Northern Data is bankrupt and the management conceals this as of the date of this publication.