The Law Offices of Frank R. Cruz Reminds Investors of Looming Deadline in the Class Action Lawsuit Against TuSimple Holdings Inc. (TSP)
Jan 6th, 2023 13:00 EST
LOS ANGELES--(BUSINESS WIRE)--The Law Offices of Frank R. Cruz reminds investors of the upcoming January 9, 2023 deadline to file a lead plaintiff motion in the class action filed on behalf of investors who acquired TuSimple Holdings Inc. (“TuSimple” or the “Company”) (NASDAQ: TSP) securities: (a) pursuant and/or traceable to the Registration Statement and Prospectus (collectively, the “Registration Statement”) issued in connection with the Company’s April 15, 2021 initial public offering (“IPO”); and/or between April 15, 2021 and October 31, 2022, inclusive (the “Class Period”).
If you are a shareholder who suffered a loss, click here to participate.
On April 15, 2021, TuSimple conducted its IPO, selling 33.8 million class A common shares at $40.00 per share.
On October 30, 2022, The Wall Street Journal published an article reporting that TuSimple was being investigated by the FBI and SEC “into whether it improperly financed and transferred technology” into the Chinese startup, Hydron, which was founded by TuSimple’s co-founder.
Then, on October 31, 2022, TuSimple announced that its Board of Directors had terminated the Company’s Chief Executive Officer, President, and Chief Technology Officer, also removing him from his position as Chairman of the Board, effective immediately.
On this news, TuSimple’s stock price fell $2.88 or 45.6%, to close at $3.43 per share on October 31, 2022, thereby injuring investors.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) TuSimple was engaged in undisclosed related party transactions with Hydron, a company founded by the Company’s co-founder, Executive Chairman, and director; (2) TuSimple shared confidential information and/or proprietary technology with Hydron without Board approval or informing regulators or TuSimple shareholders; (3) TuSimple failed to disclose the Board’s internal investigation, which commenced in July 2022, into TuSimple’s ties to Hydron; (4) the aforementioned conduct enhanced the likelihood of regulatory scrutiny and investigatory action toward the Company; and (5) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
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If you purchased or otherwise acquired TuSimple securities during the Class Period, you may move the Court no later than January 9, 2023 to request appointment as lead plaintiff in this putative class action lawsuit. To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. If you wish to learn more about this class action, or if you have any questions concerning this announcement or your rights or interests with respect to the pending class action lawsuit, please contact Frank R. Cruz, of The Law Offices of Frank R. Cruz, 1999 Avenue of the Stars, Suite 1100, Los Angeles, California 90067 at 310-914-5007, by email to [email protected], or visit our website at www.frankcruzlaw.com. If you inquire by email please include your mailing address, telephone number, and number of shares purchased.
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