The Alvarez & Marsal report on the chaotic discrepancies in the figures of luxury jewelry company Folli Follie appears to concern the foreign funds that have invested in Greece or are monitoring it, as well as fellow Greek listed companies, sources say. This is despite the largely anticipated outcome of the troubled company’s case.
The blow to the credibility of the Greek market since May, when US fund QCM revealed the problems in Folli Follie’s fundamentals, has been considerable and clearly reflects the course of the local stock market; it can also be clearly seen in the dishearteningly low daily turnover at Athinon Avenue. Investors are now demanding a high level of corporate governance and making this clear in all contacts they have with listed company officials.
However, sources tell Kathimerini that the Alvarez & Marsal report came as little surprise to the market. The representative of a fund that took part in the Greek stock market roadshow in London last week says that the outcome of the Folli Follie case had more or less been taken for granted.
As was also evident in Thursday’s bourse trading session, the case of Folli Follie is mostly seen as an isolated incident, with no wider impact on other stocks.