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Carvana Renews Ties With Ally Financial After Hindenburg Report

  • Carvana has revived a deal to sell $4 billion in used-car loan receivables to Ally Financial.
  • This deal upholds a key relationship for Carvana as Ally typically purchases enough receivables to fund half of Carvana’s new originations.
  • Short seller Hindenburg Research had alleged a 'father-son accounting grift' at Carvana and claimed that Ally was stepping back from their partnership.
  • Carvana dismisses Hindenburg's report as intentionally misleading and inaccurate, stating they plan to focus on executing their plan for another great year.

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