German Prosthetics Firm Ottobock Shares Fall After Hedge Fund Report

U.S. hedge fund Grizzly Research announced a short position and released a report containing allegations about the company's owner and its Russia-related business. The report accused majority shareholder and board chair Hans Georg Näder of extracting funds from the company for personal use and of being lenient on regulatory checks for military use of its products.

Grizzly Research stated that it based its conclusions on publicly available information, field research, and inferences.

An Ottobock spokesperson said the firm was not in a position to provide detailed responses ahead of its annual general meeting on Tuesday. The spokesperson added that the company categorically rejects the statements and conclusions in the report.

Research alleged that Näder has taken more money out of the company annually than it has earned for at least 15 years. The hedge fund cited media reports of payments totaling €600 million to Näder between 2010 and 2022, while the company recorded €340 million in earnings during that period.

Grizzly Research also said Ottobock is more dependent on Russian business than disclosed, estimating that over 30 percent of net income comes from Russia. The hedge fund referenced a 2025 Business Insider article that reported Ottobock prosthetics appearing in Russian media for veteran care.

8 percent in 2024. The company previously stated that it only services Russian civilians. 1 billion in March 2024 to buy back shares from Swedish private equity firm EQT before the IPO.