Gerresheimer Shares Sink as German Watchdog Audits Accounts (1)

Gerresheimer AG, a German maker of packaging for medicines and cosmetics, saw its stock plunge by the most on record after the country’s markets regulator initiated an audit of its accounts on suspicion of irregularities.

BaFin, as the watchdog is known, said in a statement on Wednesday that Gerresheimer may have booked revenue for some client contracts despite the sales not having been realized. The probe of the accounts through Nov. 30 started last week because of “concrete indications,” BaFin said.

The stock fell as much as 38% in Frankfurt trading, its biggest-ever intraday drop. The move erased more ...