NEW YORK, Dec. 03, 2021 (GLOBE NEWSWIRE) -- The law firm of Kirby McInerney LLP reminds investors that a class action lawsuit has been filed in the U.S. District Court for the District of Colorado on behalf of investors who acquired Lightning eMotors, Inc. (“Lightning eMotors” or the “Company”) (NYSE: ZEV) securities from December 10, 2020 through August 16, 2021, inclusive (the “Class Period”). Investors have until December 14, 2021 to apply to the Court to be appointed as lead plaintiff in the lawsuit.
Lightning eMotors designs, manufactures, and sells electric vehicles. The Company produces electric fleet medium- and heavy-duty vehicles, including delivery trucks, shuttle buses, passenger vans, chassis-cab models, and city transit buses.
Lightning eMotors was formed through a business combination between Lightning Systems, Inc. and GigCapital3, a special purpose acquisition company (SPAC), also known as a blank check company, incorporated for the purpose of entering into a merger or similar business combination with one or more businesses or entities. On May 7, 2021, the Company’s common stock and warrants began trading on the New York Stock Exchange under the symbols “ZEV” and “ZEV.WS”, respectively.
After the market closed on August 16, 2021, Lightning eMotors announced financial results for the second quarter ended June 30, 2021, including a net loss per share of $0.79 compared to a loss of $0.10 in the second quarter of 2020. The Company also pulled its full year financial guidance for the remainder of 2021, just days after announcing a multi-year agreement with Forest River, a Berkshire Hathaway company. On this news, the Company’s share price declined by $1.63 per share, or approximately 16.9%, from $9.63 per share to close at $8.00 per share on August 17, 2021.
The lawsuit alleges throughout the Class Period, Defendants made materially false and misleading statements and failed to disclose known adverse facts about Lightning eMotors’ business, operations and prospects, including that the Company: (i) was suffering from severe supply chain constraints and cost overruns; (ii) was experiencing delays in vehicle deliveries and more tepid customer demand than represented to investors; (iii) did not possess “firm” purchase orders and/or an ability to deliver on such orders sufficient to generate $63 million in revenue in 2021; (iv) considered purchase orders to be “firm” even if they were non-binding, did not constitute a legal obligation to purchase, and could be canceled or delayed by customers without penalty; (v) did not possess “high visibility” into 2021 revenues, let alone its business and operations in subsequent years; (vi) was suffering from ballooning costs and worsening gross margin trends; and (vii) issued 2021 guidance that was not achievable and lacked any reasonable basis in fact.
If you acquired Lightning eMotors securities, have information, or would like to learn more about these claims, please contact Thomas W. Elrod of Kirby McInerney LLP at 212-371-6600, by email at firstname.lastname@example.org, or by filling out this contact form, to discuss your rights or interests with respect to these matters without any cost to you.
Kirby McInerney LLP is a New York-based plaintiffs’ law firm concentrating in securities, antitrust, whistleblower, and consumer litigation. The firm’s efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling billions of dollars. Additional information about the firm can be found at Kirby McInerney LLP’s website: http://www.kmllp.com.
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