PHILADELPHIA, Jan. 13, 2021 /PRNewswire/ -- Berger Montague is investigating potential securities fraud claims against QuantumScape Corporation ("QuantumScape" or the "Company") on behalf of investors who purchased QuantumScape securities (NYSE: QS) between November 27, 2020 and December 31, 2020 (the "Class Period").
If you purchased QuantumScape securities during the Class Period, have questions concerning your rights or interests, or would like to discuss Berger Montague's investigation, please contact attorneys Andrew Abramowitz at firstname.lastname@example.org or (215) 875-3015, or Donnell Much at email@example.com or (215) 875-4667, or contact us at www.bergermontague.com/quantumscape.
QuantumScape, based in San Jose, California, develops and commercializes solid-state lithium-metal batteries for electric vehicles. In 2018, Volkswagen and QuantumScape announced the establishment of a joint production project to prepare solid-state batteries for mass production.
Recently filed lawsuits charge the Company with failing to disclose to investors that: (1) QuantumScape's battery technology was not sufficient for electric vehicle performance, as it would not be able to withstand the aggressive automotive environment; (2) QuantumScape's battery technology likely provided no meaningful improvement over existing battery technology; and (3) the successful commercialization of QuantumScape's battery technology was subject to much more significant risks and uncertainties than the defendants had disclosed.
According to the suits, investors learned the truth on January 4, 2021, when Seeking Alpha published a research report which accused the Company of overstating the performance of its batteries. The report stated that QuantumScape's batteries are "small and unproven – not yet as big as an iWatch battery, and never tested outside a lab." Seeking Alpha further stated that "[t]here are significant risks associated with solid state batteries that have not been overcome," and the Company's product "will likely never achieve the performance they claim."
On this news, the price of QuantumScape's common stock declined $34.49 per share – more than 40% – in a single day, falling from a closing price of $84.45 per share on December 31, 2020 to a closing price of $49.96 per share on January 4, 2021.
If you purchased QuantumScape securities during the Class Period, you may seek Court appointment as lead plaintiff to represent other injured investors in a class action. The lead plaintiff appointment deadline is March 8, 2021. You do not need to be a lead plaintiff to share in any potential Class recovery.
Whistleblowers: Persons with non-public information regarding QuantumScape are 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 five decades and serves as lead counsel in courts throughout the United States.
Andrew Abramowitz, Senior Counsel
Donnell Much, Associate