SAN DIEGO–(BUSINESS WIRE)–Robbins Geller Rudman & Dowd LLP announces that purchasers or acquirers of NIO Inc. (NYSE: NIO) securities between March 1, 2021 and July 11, 2022, inclusive (the “Class Period”) have until October 24, 2022 to seek appointment as lead plaintiff in the NIO class action lawsuit. Captioned Saye v. NIO Inc., No. 22-cv-07252 (S.D.N.Y.), the NIO class action lawsuit charges NIO and certain of its top executives with violations of the Securities Exchange Act of 1934.
If you suffered substantial losses and wish to serve as lead plaintiff of the NIO class action lawsuit, please provide your information here:
CASE ALLEGATIONS: NIO designs, develops, manufactures, and sells smart electric vehicles. It purports to differentiate itself through technological breakthroughs and innovations, such as its battery swapping technologies (i.e., Battery as a Service) and proprietary autonomous driving technologies, including Autonomous Driving as a Service.
The NIO class action lawsuit alleges that defendants failed to disclose that: (i) NIO pulled forward revenue by selling batteries to a related party, which owned the batteries and managed users’ subscriptions; (ii) through the related party, NIO also recognized enormous depreciation savings; and (iii) as a result, NIO’s revenue and net loss were overstated.
On June 28, 2022, Grizzly Research LLC published a report alleging, among other things, that NIO inflated its net income by about 95% through sales to a related party, Wuhan Weineng Battery Asset Co. Ltd. On this news, the price of NIO American Depositary Shares (“ADSs”) fell approximately 2.5%.
Then, on July 11, 2022, NIO announced that it formed a special committee to oversee an investigation into the allegations in the Grizzly Research report. On this news, the price of NIO ADSs fell by nearly 9%, further damaging investors.
THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased or acquired NIO securities during the Class Period to seek appointment as lead plaintiff. A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class. A lead plaintiff acts on behalf of all other class members in directing the NIO class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the NIO class action lawsuit. An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff of the NIO class action lawsuit.
ABOUT ROBBINS GELLER: Robbins Geller is one of the world’s leading complex class action firms representing plaintiffs in securities fraud cases. The Firm is ranked #1 on the 2021 ISS Securities Class Action Services Top 50 Report for recovering nearly $2 billion for investors last year alone – more than triple the amount recovered by any other plaintiffs’ firm. With 200 lawyers in 9 offices, Robbins Geller is one of the largest plaintiffs’ firms in the world, and the Firm’s attorneys have obtained many of the largest securities class action recoveries in history, including the largest securities class action recovery ever – $7.2 billion – in In re Enron Corp. Sec. Litig. Please visit the following page for more information:
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