By Ben Otto

Nasdaq-listed Huazhu Group Ltd. said Tuesday that a short seller's report alleging financial misconduct at the Chinese company is without merit and contains numerous errors.

The multibrand hotel group, which counts Accor SA and Trip.com Group Ltd. as shareholders, said a report by U.S.-based Bonitas Research LLC contains "numerous errors, unsubstantiated statements and misleading conclusions regarding the company's business and operations."

"The company emphasizes its commitment to maintaining the highest standards of corporate governance, as well as transparent and timely disclosure in compliance" with U.S. regulatory and market requirements, it said.

Bonitas Research, in a short-seller report Monday, said Huazhu "lied about the ownership of its hotel portfolio to produce fake financials," adding it believes the company concealed operating expenses to artificially inflate profits.

Huazhu's U.S.-listed shares fell 3.7% in Monday trade.

The report came just before Huazhu completed a secondary listing in Hong Kong in which it raised more than $780 million. In the company's debut in the Asian financial hub Tuesday, shares rose 4.7% in morning trade. 



  Write to Ben Otto at ben.otto@wsj.com