RE: Today7 Feb 2022 09:52
I have been wrestling with this 'Jupiter' short. The narrative that it is simply a 'short position' does not seem to make sense. So, although the following is likely to be wrong; the most persuasive argument to me is that this has arisen as a hedge associated with a substantial investment. An investment organisation at the scale of Jupiter probably cannot wisely invest in AIM listed companies such as Avacta without a suitable strategy to address any possible investor portfolio decline (AIM listed and increased risk, etc). The simplest (and often cheapest) vehicle to guard against falls is suitably structured short position(s). This seems all the more likely as their short increased on our latest transformational news; I take this as a signal that they bought more shares and the corresponding shorting is likely to cover their most recent purchases. Of course, until they reach the 3% threshold we shall have to await annual report or other; irony, as short holding is immediately publicly accessible.
Probably ramblings above are all wrong but they make some sense to me. As you can see, I know little about intricacies of shorts, except that I am wearing a pair! All imho and all that. As ever, VGLA