Clearly, speculators can gang up to drive the share price down with a rush of short sales, but at some point other traders -- impressed by the company's health -- would see the shares as a bargain and higher demand would cause the share price to stabilize and rise. A bear raid would therefore have no lasting effect. But if the falling share price caused by a bear raid does real economic damage to the firm, other investors are likely to dump the stock as well, causing a vicious cycle of falling share prices and economic damage that would make the bear raid more profitable.
Market thinks YES and YES. Don't know if one or both happens but stock is trading as if both will happen. If we can pull out of this, it might be like MMLP was a few months ago when it was in the range of $30 and then rose to about $45 before the recent weaker times. People who manipulate stocks such as this (perhaps because they have news that is not public or because their short selling causes the deal to not go through) should be put in jail right away.
Company is trading about 15% below where it was prior to announcing the merger. I don't think this is merger driven. Someone is selling a lot of LINE shares, who knows if it is shorting or not, but it has been going on since the second Barrons article.