SAN FRANCISCO, CA / ACCESSWIRE / November 7, 2020 / Hagens Berman updates investors in the following publicly-traded companies and urges investors who have suffered significant losses to contact the firm. Further details about the cases, including upcoming application deadlines, can be found at the links provided.
Nikola Corporation (NKLA) Securities Class Action:
Class Period: Mar. 3, 2020 - Sept. 20, 2020
Lead Plaintiff Deadline: Nov. 16, 2020
Contact An Attorney Now: NKLA@hbsslaw.com
The Complaint alleges that throughout the Class Period, Defendants falsely stated or omitted, among other things, that: (1) Nikola overstated its in-house design, manufacturing, and testing capabilities; (2) exaggerated its hydrogen production capabilities; (3) as a result, Nikola overstated its ability to lower the cost of hydrogen fuel; (4) Nikola founder and Executive Chairman, Trevor Milton, tweeted a misleading test video of the Company's Nikola Two truck; (5) the work experience and background of key Nikola employees, including Mr. Milton, had been overstated and obfuscated; and (6) Nikola did not have five Tre trucks completed.
Investors learned the truth through a series of partial disclosures, beginning on Sept. 10, 2020, when Hindenburg Research published a scathing report accusing Nikola of lying about its truck's capabilities, partnerships and products, and ending on Sept. 20, 2020, when Milton abruptly resigned.
These events have driven the price of Nikola shares sharply lower.
Significantly, less than a month before these disclosures, on Aug. 11, 2020, In-Cap, an entity indirectly controlled by Nikola director Jeffrey Ubben, sold 1.4 million Nikola shares at $42.69/share for a total of over $59 million. While Ubben reportedly contends the suspiciously timed sale was forced on him by "investor redemptions," Hagens Berman is actively investigating the validity of this claim.
Most recently, on Sept. 29, 2020 CNBC reported a second sexual abuse allegation against Milton and that the widely-touted partnership with GM announced earlier in the month is not a "done deal."
"We're focused on (i) investors' losses, (ii) proving Nikola misrepresented its truck's functionality, its technology and partnerships, and (iii) whether Nikola stakeholders like Ubben engaged in unlawful insider trading," said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you are a Nikola investor or may assist the firm's investigation, click here to discuss your legal rights with Hagens Berman.
Nano-X Imaging (NNOX) Securities Class Action:
Class Period: Aug. 21, 2020 - Sept. 15, 2020
Lead Plaintiff Deadline: Nov. 16, 2020
Contact An Attorney Now: NNOX@hbsslaw.com
The complaint alleges that throughout the Class Period, Defendants concealed that Nano-X's: (1) commercial agreements and customers were fabricated; (2) statements regarding its novel Nanox System were misleading; and (3) Nano-X's submission to the FDA admitted the Nanox System was not original.
Investors allegedly began to learn the truth on Sept. 15, 2020, when Citron Research published a report accusing Nano-X of conducting "the most blatant stock promotion we have seen in years." Citron challenged Nano-X's claimed new innovative technology, stating "we have not even seen proof of the product and have only seen a mockup drawing of what this machine is supposed to look like." Citron also alleged that Nano-X's commercial agreements "appear to be no more than fake customers."
Following this report, the price of Nano-X shares crashed sharply lower.
Then, on Sept. 17, 2020 Empire Financial Research issued a report, stating that Nano-X looks like "Theranos 2.0" and that "this stock is worthless."
Finally, on Sept. 22, 2020 Muddy Waters published a report concluding that Nano-X "is a much bigger piece of garbage than Nikola will ever be," based on interviews with radiologists and purported distributors. Muddy Waters stated Nano-X's ARC device "appears to be little more than a futuristic movie prop" and "[i]n fact, an Israeli company that designed a pickup truck used in the movie Jurassic World claims credit for its design."
"We're focused on investors' losses and proving Nano-X misrepresented the status of its X-ray source and commercial agreements," said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you are a Nano-X investor or may assist the firm's investigation, click here to discuss your legal rights with Hagens Berman.
Whistleblowers: Persons with non-public information regarding Nikola and/or Nano-X should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email NKLA@hbsslaw.com and/or NNOX@hbsslaw.com.
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About Hagens Berman
Hagens Berman is a national law firm with nine offices in eight cities around the country and eighty attorneys. The firm represents investors, whistleblowers, workers and consumers in complex litigation. More about the firm and its successes is located at hbsslaw.com. For the latest news visit our newsroom or follow us on Twitter at @classactionlaw.
Reed Kathrein, 844-916-0895
SOURCE: Hagens Berman Sobol Shapiro LLP
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