Hindenburg Research, the US-based short-selling firm that gained global attention for its report on the Adani Group, is set to cease operations, according to a statement by its founder, Nate Anderson, published on the company’s website. While Anderson did not provide a “specific” reason for the decision, he noted that Hindenburg had never been a “central thing” in his life.
“I have made the decision to disband Hindenburg Research. The plan has been to wind up after we finished the pipeline of ideas we were working on,” he said in a note on the Hindenburg website.
“So, why disband now? There is not one specific thing—no particular threat, no health issue, and no big personal issue,” Anderson said in the note.
“Someone once told me that at a certain point a successful career becomes a selfish act. Early on, I felt I needed to prove some things to myself. I have now finally found some comfort with myself, probably for the first time in my life. I probably could have had it all along had I let myself, but I needed to put myself through a bit of hell first. The intensity and focus has come at the cost of missing a lot of the rest of the world and the people I care about. I now view Hindenburg as a chapter in my life, not a central thing that defines me,” he further added.
“The plan has been to wind up after we finished the pipeline of ideas we were working on. And as of the last Ponzi cases we just completed and are sharing with regulators, that day is today,” he wrote in the note published on the website of Hindenburg Research on Wednesday (Jan 15).
Nate Anderson reflected on the firm’s beginnings, acknowledging his initial self-doubt and the challenges he faced, especially since none of his family members had experience in the field.
“I went to a state school. I’m not a slick salesperson. I don’t know any of the right clothes to wear. I can’t play golf. I’m not some superhuman that can function on 4 hours of sleep. In most of my jobs I was a good worker but mostly looked over. I had no money when I started—and after catching 3 lawsuits immediately out of the gate, I quickly had less than no money,” he said.
“I would have failed right at the starting line had it not been for the support of world-class whistleblower lawyer Bryan Wood, who took the cases on despite my lack of financial resources. I had a newborn child and was facing eviction at the time. I was terrified, but knew that if I stayed still I would crumble. The only option I had was to keep moving forward,” he added.
“One at a time, and without a clear plan, we built a team of 11 incredible people. I hired each of them not because we needed workers, but because when our paths crossed and I could see who they were, I realized it was madness not to bring them on.”
“I’m grateful for all of it. We have days of bizarre, hilarious and ridiculous stories and we’ve had a lot of fun amidst the pressure and challenges. It has been the adventure of a lifetime,” he further said.
“Some are going to start their own research firm, which I will strongly and publicly encourage, even as I will have no personal involvement. There are others on our team who are now free agents—so feel free to reach out to me if you have a need for anyone who is brilliant, focused, and easy to work with, as they all are,” he said.
“My hope is that after we fully share our process, in a couple years I will get an unsolicited message from someone who reads this (maybe you), who embraces the same passion, learns the craft, and finds the confidence to shed some light on a subject that needs it, despite the obstacles in your way. That would make my day, even if I’m off trying to learn music or planting a garden or whatever I end up doing next,” he added.
What was the Adani-Hindenburg row?
In January 2023, Hindenburg Research made headlines with its report accusing the Adani Group of manipulating share prices. The allegations triggered a sharp decline in the company’s stock value, erasing nearly USD 140 billion from its market capitalization.
The controversy sparked a significant uproar in Parliament and prompted a petition in the Supreme Court. In response, the court established a committee and directed the market regulator, SEBI, to conclude its investigation within three months. SEBI also issued a notice to the short-seller, accusing it of “deliberately sensationalizing and distorting certain facts.”
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