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Grifols (NASDAQ:GRFS) is reportedly looking to add independent directors to its audit and compensation committees in the wake of criticism about some of its accounting practices.
Grifols CEO Nacho Abia and Chairman Thomas Glanzmann told Spanish newspaper La Vanguardia that appointing independent directors will help improve the company’s governance. Abia also said the company needed to “increase the clarity of our explanations to the market,” according to a Reuters report.
The Spanish drugmaker has been under pressure since short-seller Gotham Research released a report in January accusing the company of accounting irregularities, particularly those related to its debt.
Abia said in the interview that the "complexity" of its financial explanations to the market “is what allowed the Gotham report to raise these concerns,” Reuters added.
In March, Spanish regulators reportedly found no errors in the company’s reporting of its debt.