The founder of Hindenburg Research has announced the closure of his short-seller research shop.

• Nate Anderson, founder of Hindenburg, stated that the company has completed the development of the ideas they were previously working on.
• In 2020, one of Hindenburg's initial notable reports centered on Nikola, a vehicle startup.
• The company has pursued major financial figures' companies, such as Icahn Enterprises LP and Gautam Adani's business empire.

Nate Anderson, founder of Hindenburg Research, announced on Wednesday that the research and investment firm is shutting down.

Anderson announced on the firm's website that he has decided to disband Hindenburg Research after completing the pipeline of ideas he was working on. He shared this news with family, friends, and the team since late last year. The last Ponzi cases they completed are now being shared with regulators, marking the end of the plan.

Since its founding in 2017, Hindenburg has published numerous negative research reports about various companies. One of its first high-profile reports was released in 2020 and focused on Nikola, a vehicle startup. The report contained an allegation that Nikola had faked the autonomous capabilities of a semi-truck in a video, which the company later admitted. As a result, Nikola founder Trevor Milton was sentenced to four years in prison.

Hindenburg's reports often focused on smaller companies, but the firm has also targeted major financial figures' companies, such as those of Carl Icahn and Indian billionaire Gautam Adani.

The recent report by Hindenburg on Carvana, which it labeled a "father-son accounting grift for the ages," was disputed by Carvana as "intentionally misleading and inaccurate." The stock price dropped more than 11% the day after the report was published but has since regained its value.

Hindenburg was both a short-seller and a research house, which put the firm in a position to profit if the stock declined. As the reputation of Hindenburg grew, some stocks experienced immediate negative reactions after the reports were published.

It is not clear how much money Hindenburg made from its short bets.

The decline of short-selling in favor of other investment practices coincided with the rise of Hindenburg. The meme-stock craze of 2021 saw retail investors clash with hedge funds over short selling, prompting some professional investors to abandon the practice. Additionally, federal officials have been scrutinizing other short-sellers, including Andrew Left of Citron being charged with securities fraud last year.