SAN FRANCISCO, Oct. 25, 2021 (GLOBE NEWSWIRE) -- Hagens Berman urges Hyzon Motors Inc. (NASDAQ: HYZN, HYZNW, DCRB, DCRBW, DCRBU) investors with significant losses to submit your losses now.
Hyzon Motors Inc. (HYZN) Securities Fraud Class Action:
The litigation alleges that Hyzon (1) misrepresented the nature of its “customer” contracts and severely embellished its “deals” and “partnerships” with customers; and (2) could not deliver its announced vehicles in 2021, on its stated timeline.
The truth emerged on Sept. 28, 2021, when analyst Blue Orca published a scathing report likening the company to a Chinese Lordstown Motors. According to Blue Orca, Hyzon’s largest customer, Shanghai HongYun, is a fake-looking PRC shell company formed just 3 days before Hyzon announced that it had agreed to purchase 500 trucks. Blue Orca also reported that Hyzon’s next largest customer, Hiringa, which supposedly had signed an agreement to order 1,500 trucks by 2026, informed Blue Orca that it is not a customer, but merely a “channel partner” assisting Hyzon in marketing vehicles to real end customers in New Zealand.
Blue Orca further contended that: (1) Hyzon’s dropping of its big-name customers (Coca Cola, Ikea, Heineken) from recent investor decks suggests these blue chip companies were “phantom customers;” (2) former Hyzon executives departed because of misrepresentations on customer contracts and the company’s ability to deliver vehicles in 2021; (3) Hyzon’s financial projections are “pure fantasy”; and (4) two CTO resignations in 15 months reflects their “little faith in either the Company or the technology (or both).”
On this news, Hyzon shares fell $2.58 per share, or 28%, in a single trading day.
Most recently, another analyst Iceberg Research issued a separate report. In addition to agreeing with Blue Orca’s key findings, Iceberg Research alleges that Hyzon’s claims concerning its superior fuel cell technology are exaggerated.
“We’re focused on investors’ losses and proving Hyzon lied about its roster of customers,” said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you invested in Hyzon, or have knowledge that may assist the firm’s investigation, click here to discuss your legal rights with Hagens Berman.
Whistleblowers: Persons with non-public information regarding Hyzon 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 HYZN@hbsslaw.com.
About Hagens Berman
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Reed Kathrein, 844-916-0895