The Law Offices of Frank R. Cruz Announces the Filing of a Securities Class Action on Behalf of TuSimple Holdings Inc. (TSP) Investors
The Law Offices of Frank R. Cruz announces that a class action lawsuit has been filed on behalf of persons and entities that purchased or otherwise 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"). TuSimple investors have until January 9, 2023 to file a lead plaintiff motion.
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 andtransferred 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 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 TuSimple securities during the Class Period, you may move the Court no later than January 9, 2023 to ask the Court to appoint you as lead plaintiff. To be a member of the Class 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. If you purchased TuSimple securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, 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.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
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