Muddy Waters Shorts Japan Biotech PeptiDream; Shares Slump

  • Short seller questions firm’s partnerships with drug firms
  • Shares fall as much as 5.5% in Tokyo trading Thursday
Photographer: Tomohiro Ohsumi/Bloomberg
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Muddy Waters said it’s short Japanese biotech stock PeptiDream Inc., sending the company’s shares sliding.

PeptiDream fell as much as 5.5% in Tokyo trading Thursday after the short seller questioned the level of activity at the company’s drug development partnerships with pharmaceutical companies. The stock ended the day 4% lower.