Short Seller Who Foresaw Valeant Crash Now Bets on Tesla Falling
- Fahmi Quadir’s fund Safkhet Capital initiated position in July
- 28-year-old wagered on drugmaker’s drop around its 2015 peak
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Short seller Fahmi Quadir, who bet against the drugmaker formerly known as Valeant Pharmaceuticals around its peak in 2015, is now betting on a dramatic drop in Tesla Inc. shares.
Quadir, the 28-year-old founder of newly launched fund Safkhet Capital LP, said she initiated a small short position in Tesla stock in July. The electric-car maker seems to be “between a rock and a hard place” because it needs to raise money through an equity or debt offering, and “either will be difficult,” she said in an interview. Her fund, which has raised about $30 million to date, is focused on identifying frauds or accounting vulnerabilities that could cause a stock to lose more than 60 percent of its market value.