Home REIT has been forced to delay its interim results after coming under fire from an activist investor.
The REIT, which invests in accommodation for the homeless, was due to publish its results this morning.
The FTSE 250-listed company is also racing to complete a dossier to address claims by Viceroy Research, best known for raising the alarm about the German financial firm Wirecard, which collapsed two years ago amid allegations of fraud.
Viceroy published a 27-page report on Wednesday which questioned the valuation of the properties and the ability of Home REIT’s tenants to pay rent. Some of the tenants are charities that Viceroy said had limited government grants. It also said Home REIT’s largest clients shared the same office.
Home REIT said it was “standard” for a company to face an “enhanced set of audit procedures” when there were “material” allegations.
It added it will demonstrate “factual inaccuracies and selective use of information” in Viceroy’s analysis when it publishes its response in the next few days.
Viceroy has declared a short position in Home REIT, which means it profits when the share price falls. Shares have fallen by 20% since the report was published.
