NASDAQ: ZY Investor Alert: Lawsuit against Zymergen Inc announced by the Shareholders Foundation
SAN DIEGO, CA, September 7, 2021 (Newswire.com) - The Shareholders Foundation, Inc. announces that a lawsuit was filed for certain investors in NASDAQ:ZY shares.
Investors, who purchased shares of Zymergen Inc. (NASDAQ: ZY), have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.
On August 3, 2021, Zymergen Inc. provided a business update regarding its commercial product pipeline and financial forecast. Zymergen claims it recently became aware of issues with its commercial product pipeline that will impact the Company's delivery timeline and revenue projections. As a result, the Company no longer expects product revenue in 2021 and expects product revenue to be immaterial in 2022. Additionally, the Company announced that Josh Hoffman stepped down as CEO and a board member, effective immediately.
Shares of Zymergen Inc. (NASDAQ:ZY) declined from $52.00 per share on April 29, 2021, to $7.85 per share on August 4, 2021.
The plaintiff alleged that the defendants failed to disclose to investors that, during the qualification process for Hyaline, key customers had encountered technical issues, including product shrinkage and incompatibility with customers' processes, that, though the qualification process was critical to achieving market acceptance for Hyaline and generating revenue, Zymergen lacked visibility into the qualification process, that, as a result, the Company overestimated demand for its products, that, as a result of the foregoing, the Company's product delivery timeline was reasonably likely to be delayed, which in turn would delay revenue generation, and that, as a result of the foregoing, Defendants' positive statements about the Company's business, operations, and prospects, were materially misleading and/or lacked a reasonable basis.
Those who purchased Zymergen Inc. (NASDAQ: ZY) shares should contact the Shareholders Foundation, Inc.
CONTACT:
Shareholders Foundation, Inc.
Michael Daniels
+1 (858) 779-1554
mail@shareholdersfoundation.com
3111 Camino Del Rio North
Suite 423
San Diego, CA 92108
The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and a settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. Any referenced cases, investigations, and/or settlements are not filed/initiated/reached and/or are not related to Shareholders Foundation. The information is only provided as a public service. It is not intended as legal advice and should not be relied upon.
SOURCE: Shareholders Foundation, Inc.
Source: Shareholders Foundation, Inc.
