The owner of the iconic Penfolds wine is facing “elevated risk” of bankruptcy after it posted an eye-watering $650 million loss and questions grow over its controversial $1.3 billion bet on a luxury California vineyard.
Plato Global Alpha Fund, a $3.4 billion Sydney-based investment manager, this week warned the embattled Treasury Wine Estates (TWE) could be wiped out by rising interest rates and falling consumer confidence.
“We have a model to estimate the probability of a company going bankrupt, and this is particularly elevated for Treasury Wines,” Plato warned, per The Nightly. “This concern is even more acute with interest rates rising and the macro outlook deteriorating.”
Plato has been shorting TWE since last year,…