Safety Shot Faces Short Seller Allegations: A Closer Look

Safety Shot, a company that claims to offer a revolutionary alcohol detox drink, finds itself in the midst of controversy following a recently published short report by Capybara Research. The report raises serious doubts about the legitimacy of Safety Shot’s products and business practices. In this article, we delve into the allegations made by the short seller and the company’s response, shedding light on the unfolding situation.

Capybara Research’s Concerns

Capybara Research’s short report on Safety Shot doesn’t mince words. It asserts that the company’s alcohol detox drink, touted as revolutionary, has raised numerous red flags upon investigation. The report suggests that Safety Shot may be marketing itself as a nutraceutical beverage to evade FDA regulation, an allegation that could have significant regulatory consequences.

Furthermore, the report questions the recent surge in Safety Shot’s stock price, attributing it to aggressive stock promotion and detachment from the company’s actual financial performance. Capybara Research also highlights what it perceives as a history of unfulfilled promises and questionable dealings by Safety Shot’s management, casting doubt on the company’s future prospects.

Safety Shot’s Response

In response to the allegations, Safety Shot issued a statement indicating that it has become aware of short sellers publishing “malicious defamatory, inaccurate articles” about the company and its management. The company views these actions as an attempt to scare off investors, potentially with the goal of driving down the stock price to benefit from their disclosed short positions.

Safety Shot further asserts that several of these groups are currently facing legal action in federal court for publishing similar fraudulent articles about other companies. The company intends to pursue a similar lawsuit against individuals based in the Cayman Islands.

Brian John, CEO of Safety Shot, has encouraged individuals, including those writing defamatory articles, to personally test the product. He also urges all investors to conduct their own due diligence on Safety Shot’s product and the company itself, emphasizing that he has personally witnessed positive responses from thousands of individuals who have tried Safety Shot.

Safety Shot Files To Sell 1.98 Million Shares

Meanwhile, after threatening a lawsuit, Safety Shot files to sell 1.98M shares of common stock for holders on November 22, 2023.

Bottom-line: The allegations and counterclaims surrounding Safety Shot have brought the company into the spotlight, raising questions about the legitimacy of its product and business practices. As regulatory scrutiny and legal actions unfold, investors and the public will be closely monitoring the developments in this ongoing dispute. The situation serves as a reminder of the importance of due diligence and skepticism in the world of investments and emerging companies, where allegations and counter-allegations can significantly impact stock prices and reputations.