A surge in trading activity on the online platform Reddit has recently propelled the share price of German football club SpVgg Unterhaching. Over the past two weeks, the club’s stock experienced a dramatic increase, peaking at €3.58 at the beginning of September – a rise of over 320% from a previous price of €0.85.
Investigations by Capital indicate that Reddit users have been utilizing the stock as a “meme stock” with numerous posts related to trading in the club’s shares appearing on the platform.
Manfred Schwabl, president of SpVgg Unterhaching, expressed surprise at the developments. “It was completely unexpected” he stated. He acknowledged that a group of investors appears to have experimented with the football club’s stock. He added that it brings honor to Unterhaching. Numerous inquiries reached him, questioning potential underlying events driving the price increase, which he attributed to speculative trading rather than any planned announcements – barring their positive sporting performance. While discussions around a capital increase have taken place, there are no current investment plans.
Schwabl noted that while many shareholders are genuine supporters of the club, a segment seems to be engaged in short-term investment strategies. “This doesn’t benefit our liquidity but does bring attention to the stock and the club” he remarked.
SpVgg Unterhaching listed on the stock exchange in 2019, becoming the second German football club to do so. Despite the recent uptick, the stock remains significantly below its initial offering price of €8.10. The club currently competes in the Regionalliga Bayern after relegation from the third division last season.
