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BIRD.US
id: 664, Created by Stan Vick Chase, Scout
Join Allbirds, Inc. (BIRD) Misleading IPO Case to Fight Losses
How it works?
- We find Attorney for the Case
- Attorney files case on behalf of Investors
- You get updates and receive payout in case of success
Would it cost me anything?
- No, you do not pay anything out of your pocket neither to us, nor to Attorney
- Attorneys get % fee in case of success
- Platform charges service fee from Attorneys
What are the chances for success?
Every Case is unique, but statistically, 47% of Cases end up with a settlement.
Please see below recent successful cases:
How it works?
- We find Attorney for the Case
- Attorney files case on behalf of Investors
- You get updates and receive payout in case of success
Would it cost me anything?
- No, you do not pay anything out of your pocket neither to us, nor to Attorney
- Attorneys get % fee in case of success
- Platform charges service fee from Attorneys
What are the chances for success?
Every Case is unique, but statistically, 47% of Cases end up with a settlement.
Please see below recent successful cases:
- Allbirds reported higher than the guidance 2022 adj. EBITDA loss.
- $BIRD price fell 47% and closed 92.9% of its $15 IPO price.
- Investors suspect BIRD, Its Leaders & IPO advisers of misleading.
On March 9, 2023, Allbirds, Inc. (BIRD) announced a full-year 2022 adjusted EBITDA loss of $60.4 million, which was higher than the guidance target that estimated an adjusted EBITDA loss of $42.5 million to $37.5 million.
- Allbirds also disclosed in the press release that, in response to these negative results, it created a “strategic transformation plan to reignite growth, improve costs and capital efficiency, and drive profitability.” The plan purportedly focused on four areas: reigniting product and brand, optimizing U.S. stores and slowing the pace of openings, evaluating the transition of international go-to-market strategy, and improving cost savings and capital efficiency.
- Allbirds announced that its CFO was stepping down.
- The same day the Company during a conference call with analysts Joseph Zwillinger, the Company’s Co-CEO, explained that Allbirds’ poor results were driven in part by the fact that Allbirds “overemphasized products that extended beyond our core DNA.” As a result, he explained, “some products and colors have had narrower appeal than expected” and “because we were spending significant time and resources on these new products that did not resonate well, we underinvested in our core consumers’ favorite products.”
On this news, the $BIRD price fell 47% and closed s low as $1.06 per share, a 92.9% decline from the Company’s $15.00 per share IPO price.
Taking all representations and consequent appeared facts into account, Investors have reasons to suspect that $BIRD, Its Officers, and its IPO advisers 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:
- Allbirds was overemphasizing products that extended beyond the Company’s core offerings;
- The Company’s non-core products had a narrower appeal and were not resonating with customers as well as the Company’s core products;
- Allbirds was underinvesting in its core consumers’ favorite products to push the Company’s newer products with narrower appeal;
- The underinvesting in Allbirds’ core products was negatively impacting the Company’s sales;
As a result, the positive statements about the Company’s business, operations, and prospects, were materially misleading and lacked a reasonable basis.
Alleged Offence
Mismanagement,
Misleading Statements,
Financial Misrepresentation,
Failure to Disclose,
Omissions
Suspected Party
Directors,
Management
Security Type
Stocks
Trade Direction
Long
Shock Event Date
09 March 2023
Case number
23-CV-01811
Filing date
13 April 2023
Class period Start
04 November 2021
Class period End
09 March 2023
Lead Plaintiff Deadline
12 June 2023
Court
Northern District of California
Judge
Hon. Araceli Martinez-Olguin