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Trustpilot Shares Rebound After Short Report Alleging ‘Mafia-Style’ Tactics

The company rejects the claims as selective, with no independent findings reported.

Overview

  • The stock rose about 9.7% in early Friday trading to 141.8p after plunging 31.9% to roughly 129p on Thursday, erasing more than £200 million in value.
  • US firm Grizzly Research published a 26-page report alleging an extortion scheme that coerces businesses into paid subscriptions through unsolicited profiles and engineered negativity.
  • Trustpilot called the report selective and misleading, denied creating business profiles, and said paying customers often see improved ratings because they engage more on the platform.
  • Grizzly did not disclose the size of any short position, and short sellers stand to profit when a targeted company’s share price falls.
  • The Copenhagen-based platform is free for consumers and earns most revenue from company subscriptions for analytics and review management, with revenue growth reported in 2023 and 2024.