Zymergen Inc. Stock: Berger Montague Investigates Securities Fraud Claims Against Zymergen (ZY); Lead Plaintiff Deadline is October 4, 2021
Philadelphia, Pennsylvania--(Newsfile Corp. - September 24, 2021) - Berger Montague is investigating securities fraud claims against Zymergen Inc. ("Zymergen" or the "Company"). The Firm is investigating these claims on behalf of investors who purchased Zymergen securities (NASDAQ: ZY) on or traceable to the Company's initial public offering (IPO) on April 23, 2021.
If you purchased Zymergen securities on or traceable to the IPO and would like to learn more about Berger Montague's investigation, please contact attorneys Andrew Abramowitz at firstname.lastname@example.org or (215) 875-3015, or Michael Dell'Angelo at email@example.com or (215) 875-3080.
According to a recently filed lawsuit, Zymergen, members of its senior management, and underwriters of its IPO made misrepresentations in the Company's Registration Statement for its April 23, 2021 IPO concerning Hyaline, the Company's primary product that remains in the customer qualification stage. In particular, the Registration Statement omitted to disclose that: (1) during the qualification process, key customers had encountered technical issues, including product shrinkage and incompatibility with customers' processes; (2) Zymergen lacked visibility into the qualification process; and (3) the Company had overestimated demand for its products.
On August 3, 2021, Zymergen issued a business update in which it announced that it had "recently" become aware of "issues" with its commercial product pipeline impacting the Company's delivery timeline and revenue projections. Zymergen disclosed that it did not expect any product revenues in 2021 and that 2022 revenues would be "immaterial." The Company blamed the delay on several key target customers being unable to use Hyaline in their manufacturing processes and on a market that was smaller than previously disclosed.
The Company further announced that Zymergen's CEO Josh Hoffman was abruptly leaving the Company.
On this news, Zymergen shares fell $26.58 per share - or 76% - to a closing price of $8.25 on August 4, 2021.
Whistleblowers: Anyone with non-public information regarding Zymergen is encouraged to confidentially assist Berger Montague's investigation or take advantage of the SEC Whistleblower program. Under this program, whistleblowers who provide original information may receive rewards totaling up to thirty percent (30%) of recoveries obtained by the SEC. For more information, contact us.
Berger Montague, with offices in Philadelphia, Minneapolis, Washington, D.C., and San Diego, has been a pioneer in securities class action litigation since its founding in 1970. Berger Montague has represented individual and institutional investors for over five decades and serves as lead counsel in courts throughout the United States.
Andrew Abramowitz, Senior Counsel
Michael Dell'Angelo, Managing Shareholder
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