Portway Capital Rumoured To Be HBOS Short-seller

FOR IMMEDIATE RELEASE
(Free-Press-Release.com) July 21, 2008 -- French-based Portway Capital has been the subject of speculation that it holds a significant short position in shares of HBOS. Portway Capital has apparently targeted the UK bank stock in response to predictions that its highly-publicised rights issue will fail.

Whilst Portway Capital’s stake is not thought to be large enough to fall under the scrutiny of the FSA’s new edict that investors are compelled to disclose short positions of more than 0.25 per cent of share capital in companies carrying out rights issues, sources close to the French-based asset management company have speculated that this may be about to change.
A spokeswoman for the FSA said the regulator was happy with yesterday's results: "Companies have been making disclosures, and this further transparency will help the market."
The FSA said short selling, which profits from a stock's fall in value, was a legitimate practice, but added that the sensitivity of share prices around the time of a rights issue left them vulnerable to market abuse. Portway Capital’s spokesperson was unavailable for comment.

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