Kinnevik shares have lost 10 percent of their value by lunchtime, meaning that a third of the company's market capitalization has now been erased in just over two months.
Ningi Research writes in the report that Kinnevik is currently overvalued after selling fintech assets to a fund called 100A on favorable terms. According to Ningi Research, the fund was created by an employee at Kinnevik, but the holding no longer belongs to Kinnevik.
According to the report, large parts of Kinnevik's remaining holdings consist of various types of software companies that will take a beating from AI development.
Short selling means trading with borrowed shares, with the aim of profiting from price declines.
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