On Thursday, AppLovin (NASDAQ: APP) experienced a 0.7% decline in share price following a critical report by short-selling firm Culper Research, which outperformed the 0.4% fall of the S&P 500 index on the same day. Culper’s 30-page document questions AppLovin’s alleged connections to China, specifically citing investments from Chinese national Hao Tang and undisclosed partnerships with two Chinese companies.
Culper characterized these connections as potential national and data security risks, claiming that Tang has ties to espionage and other illicit activities. Despite the report, the market response was muted, suggesting skepticism among some shareholders regarding the claims. AppLovin has yet to officially respond to these allegations.
