CNMV initiates disciplinary proceedings against Grifols, Gotham, GIP

The Executive Committee of the National Securities Market Commission, in its session of September 19, 2024, and as a result of the corresponding investigations initiated in January 2024, has agreed to initiate disciplinary proceedings against Gotham City Research LLC and General Industrial Partners LLP, and against Grifols S.A. in the following terms: To Gotham and GIP for the possible commission of a very serious infraction for the carrying out a market manipulation practice through the concerted use of mechanisms fictitious or any other form of deception or artifice to affect the price of the shares from Grifols, with the report published on January 9, 2024. To Gotham, for the possible commission of a minor infraction for failure to comply with the obligations relating to the objective presentation of recommendations of investment and the effective communication of particular interests or conflicts of interest in the investment recommendation on Grifols shares contained in the aforementioned report. To Grifols for the possible commission of a very serious continuous violation for the provision of financial information to the CNMV regulated with inaccurate or untruthful data or that omits relevant aspects of compliance with IFRS/IAS, and a violation continued serious crime due to the inclusion in the management reports corresponding to the years 2021, 2022 and 2023, and to the corresponding to the first half of 2023, of untrue or misleading information about the method of calculating some alternative performance measures. Additionally, the CNMV has transferred to the Prosecutor’s Office all the information regarding the possible manipulative behavior on the part of Gotham and GIP in case there is room for action penalties for possible non-compliance with article 284 of the Penal Code. In case it is initiated a criminal procedure, the administrative sanctioning procedure would be suspended until the existence of a final judicial ruling.