Trading in French server company suspended after short seller's accusations trigger stock collapse
By Nora Redmond
Euronext suspended the trading of shares in 2CRSi at 9 a.m. Paris time on Friday.
Trading in French technology group 2CRSi has been suspended on the Paris stocks exchange "until further notice," after a short-seller report stoked panic among investors.
Euronext, the pan-European stocks exchange that operates the French capital's financial market, confirmed to MarketWatch that trading in ordinary shares of 2CRSi (FR:AL2SI) were suspended on Friday at 9 a.m. local time. The group gave the following reason for the suspension: "At the request of the company, pending the publication of a press release and until further notice."
Shares of 2CRSi, which designs and manufactures computer servers for data centers, tumbled 43% on Thursday after accusations from a New York-based short seller. The company's market capitalization dove from about EUR1 billion ($1.15 billion) to below EUR600 million.
Grizzly Research, which had taken a short position in 2CRSi, published a report earlier on Thursday alleging that the Strasbourg, France-headquartered group fabricated revenue that it claimed from a contract announced in 2024.
2CRSi said in a statement late Thursday that it "strongly refutes" the "serious allegations" made by Grizzly Research.
"In the interests of transparency, rigor and equal access to information, the Company announces that it has requested Euronext to suspend trading in its shares, in order to provide a detailed response to the allegations made in the report and to enable the market to have all the necessary information for assessment," the company said.
2CRSi did not respond to MarketWatch's requests for comment on Thursday.
Grizzly Research previously shorted review website Trustpilot and household appliance company SharkNinja.
-Nora Redmond
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06-19-26 0833ET
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