Hindenburg Research to Shut Down, Founder Nate Anderson Announces
Renowned short-seller Nate Anderson cites the intense nature of his work as a factor in the decision to close the firm.
Hindenburg Research, the investigative financial firm known for its bold short-selling tactics and controversial reports on major companies, is set to shut down, founder Nate Anderson revealed.
In a statement released Wednesday, Anderson, who established the New York-based firm in 2017, explained that there was no singular reason for the decision but noted the immense pressure and commitment involved in running the company. "It’s been intense, and at times, all-encompassing," he wrote.
Anderson described the toll the firm’s work took on him, revealing that he would often wake up with new ideas for investigations or revisions to ongoing projects. "I often wake up from my dreams because I’ve thought of a new investigative thread to pull on in my sleep, or an edit that clarifies a point I didn’t realize I was troubled by during the day," he shared. "Or from the general pressure of it all."
While the firm will close, Anderson expressed pride in its accomplishments, noting that the decision to wind down had been planned after finishing the “pipeline of ideas” his team had been working on. “I write this from a place of joy,” Anderson said. “Building this has been a life’s dream.”
Hindenburg Research gained prominence for its investigative reports accusing corporations of fraud, mismanagement, and other unethical practices. The firm became especially well-known for short-selling its targets—borrowing shares in companies it believed were overvalued and profiting when their stock prices dropped.
Among its high-profile targets was India’s Adani Group, a conglomerate it accused of stock manipulation and accounting fraud, allegations which led to billions of dollars in market value being wiped from the company’s assets. In November, U.S. prosecutors indicted Adani Group chairman Gautam Adani over his involvement in a bribery scheme tied to a solar power plant. The Adani Group has denied the accusations and vowed to pursue all legal avenues.
Hindenburg also gained attention for its 2020 report on electric vehicle startup Nikola, accusing the company of misleading investors about the capabilities of its pick-up truck prototype. Nikola founder Trevor Milton was later convicted of defrauding investors and sentenced to four years in prison.
Anderson took pride in the firm’s impact, noting that its investigations had led to criminal or civil charges against nearly 100 individuals, including billionaires and oligarchs. “We shook some empires that we felt needed shaking,” he remarked. “Over time, people began to see what I hoped we could show – that having an impact is possible, no matter who you are.”
As he prepares to disband the firm, Anderson plans to release a series of materials and videos over the next six months, sharing Hindenburg’s investigative process with the public. “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, who embraces the same passion, learns the craft, and finds the confidence to shed some light on a subject that needs it,” he said. "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.”