Grand Canyon Education pushes back on short seller report – Education Dive

Dive Brief:

• Citron Research — a firm whose founder is known for shorting Wall Street stocks —​ took aim at Grand Canyon Education (GCE) in a report late last month, alleging “Enron-like fraud” in its relationship with Grand Canyon University (GCU).
• The report claims GCE disproportionately benefits ​from revenue that GCU pays to it through a shared-services agreement while shifting some expenses and liabilities to the university. This maneuver intends to “artificially inflate” the company’s stock price, it argued.
• GCE pushed back on the report in a statement, saying the university is independent. It also said the report made “various speculative claims” about the university’s financial health.

View Original Source