Super Micro Computer rises 20% after special committee finds no ‘evidence of wrongdoing’

Super microcomputer rose more than 20% after a special committee ruled it found “no evidence of wrongdoing” at the embattled AI server maker and appointed a new chief accounting officer.

“The evidence reviewed by the special committee did not raise any material concerns about the integrity of Supermicro’s management or audit committee or their commitment to ensuring that the company’s financial reports are materially accurate,” the company said in a news release.

Super Micro said it is also currently looking for a new chief financial officer and filling additional senior finance positions. The company named current vice president of finance and corporate controller Kenneth Cheung as chief accounting officer.

The news from Super Micro Computer follows a volatile year for the company. Shares sank in August after Hindenburg Research uncovered a short position in the company, saying it had found “new evidence of accounting manipulation,” and the company delayed releasing its annual reports.

These problems continued, and Ernst & Young resigned as the company’s auditor in October due to concerns about the board’s governance and independence. Shares are up about 30% this year after paring back much of their rally. Last month, the company averted a possible delisting from the Nasdaq after its huge crash.

Among the findings were that the committee found that the conclusions reached by Ernst & Young in its resignation were “not supported by the facts” and that the company’s audit committee “exhibited appropriate independence and generally proper independence.” supervision guaranteed”.

The special committee consisted of a board member from Super Micro, an attorney from Cooley LLP and a team from forensic accounting firm Secretariat Advisors.