Short Seller Targets Japan’s Lasertec After Its Epic Rally (2)

Activist short-seller Scorpion Capital Partners took aim at Lasertec Corp. — one of the hottest tech stocks in Japan in recent years — alleging questionable accounting practices.

Lasertec denied the allegations in a statement released after market close. The stock, which opened lower on Wednesday before the news, ended 7.5% lower on heavy volume.

The supplier to Intel Corp. and Taiwan Semiconductor Manufacturing Co. has been the best performer on the Nikkei 225 Stock Average over the past five years, surging more than 1,700% as it rode the global chip boom and as foreign investors piled in to Japan’s stock ...