Short-seller Muddy Waters bets against OSI Systems

Jimmy 3x3 | 7 Views | 2017-12-06T16:20:38+00:00

BOSTON (Reuters) - Carson Block, founder of short-seller Muddy Waters LLC, which gained prominence with a bet against a Chinese timber company, said he is shorting OSI Systems Inc, sending the company’s shares tumbling more than 13 percent.

FILE PHOTO: Carson Block, Chief Investment Officer, Muddy Waters Capital LLC., speaks at the Sohn Investment Conference in New York City, U.S. May 4, 2016. REUTERS/Brendan McDermid/File Photo

Block alleged in a video documentary that the maker of Rapiscan screening devices is “rotten to the core” and criticized its business practices.

OSIS was not immediately available for comment.

In 2011 Muddy Waters shorted Chinese forestry company Sino-Forest Corp. which sent the stock price tumbling and hurt some prominent U.S. hedge fund investors who had bet on the company.

Reporting by Svea Herbst-Bayliss; Editing by David Gregorio and Susan Thomas

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