Bragar Eagel & Squire, P.C. Reminds Investors That Class Action Lawsuits Have Been Filed Against Freshworks, Enviva, Vintage Wine, and SolarEdge and Encourages Investors to Contact the Firm
NEW YORK, Nov. 27, 2022 (GLOBE NEWSWIRE) -- Bragar Eagel & Squire, P.C., a nationally recognized shareholder rights law firm, reminds investors that class actions have been commenced on behalf of stockholders of Freshworks Inc. (NASDAQ: FRSH), Enviva, Inc. (NYSE: EVA), Vintage Wine Estates, Inc. (NASDAQ: VWE), and SolarEdge, Inc. (NASDAQ: SEDG). Stockholders have until the deadlines below to petition the court to serve as lead plaintiff. Additional information about each case can be found at the link provided.
Freshworks Inc. (NASDAQ: FRSH)
Class Period: September 21, 2021 – November 1, 2022
Lead Plaintiff Deadline: January 3, 2023
In September 2021, Freshworks completed its initial public offering (“IPO”), selling 28.5 million shares of common stock at $36 per share.
On February 10, 2022, Freshworks announced disappointing fourth quarter 2021 financial results, reporting flat calculated billings growth and revenue growth deceleration (of only 44% year-over-year).
On this news, the Company’s stock fell $4.05, or 18%, to close at $18.41 per share on February 11, 2022, thereby injuring investors.
Then, on May 3, 2022, after market hours, Freshworks reported its first quarter 2022 financial results, disclosing a third quarter of decelerating revenue growth and billings that missed consensus estimates and declined 13% quarter over quarter.
On this news, the Company’s stock fell $0.97, or 5.7%, over two consecutive trading days, to close at $15.99 per share on May 5, 2022, thereby injuring investors further.
For more information on the Freshworks class action go to: https://bespc.com/cases/FRSH
Enviva, Inc. (NYSE: EVA)
Class Period: February 21, 2019 - October 11, 2022
Lead Plaintiff Deadline: January 3, 2023
Enviva, formerly known as Enviva Partners, LP, develops, constructs, acquires, and owns and operates, fully contracted wood pellet production plants. The Company's products are used as a substitute for coal in power generation, and combined heat and power plants. Significantly, Enviva touts itself as a "growth-oriented" environmental, social, and governance ("ESG") company with a "platform to generate stable and growing cash flows."
The complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements regarding the Company's business, operations, and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) Enviva had misrepresented the environmental sustainability of its wood pellet production and procurement; (ii) Enviva had similarly overstated the true measure of cash flow generated by the Company's platform; (iii) accordingly, Enviva had misrepresented its business model and the Company's ability to achieve the level of growth that Defendants had represented to investors; and (iv) as a result, the Company's public statements were materially false and misleading at all relevant times.
On October 12, 2022, during pre-market hours, Blue Orca Capital ("Blue Orca") published a report on Enviva (the "Blue Orca Report"). Among other allegations, the Blue Orca Report stated that "new discovered data suggests . . . the company is flagrantly greenwashing its wood procurement" and characterized Enviva's claim to be a "pure play ESG Company with a healthy, self-funded dividend and cash flows to provide a platform for future growth" as "nonsense on all counts." Moreover, the Blue Orca Report alleged that "Enviva is a dangerously levered serial capital raiser whose deteriorating cash conversion and unprofitability will drain it of cash next year" and is "a product of deranged European climate subsidies which incentivize the destruction of American forests so that European power companies can check a bureaucratic box."
On this news, Enviva's stock price fell $7.74 per share, or 13.13%, to close at $51.23 per share on October 12, 2022.
For more information on the Enviva class action go to: https://bespc.com/cases/EVA
Vintage Wine Estates, Inc. (NASDAQ: VWE)
Class Period: October 13, 2021 - September 13, 2022
Lead Plaintiff Deadline: January 13, 2023
Vintage Wine is a vintner company that sells wines and spirits.
On September 13, 2022, Vintage Wine announced its financial results for fiscal year 2022. In its press release, the Company stated that it “recorded $19.1 million in non-cash inventory adjustments identified through efforts t[o] improve and strengthen inventory management, processes and reporting.” The Company also stated that “the [fourth] quarter included approximately $6.8 million in overhead burden that was related to the first and second quarter of fiscal 2022, but not material to the respective periods.”
On this news, the Company’s share price fell $2.23, or 40.3%, to close at $3.30 per share on September 14, 2022, on unusually high trading volume.
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: (1) that, due to a material weakness related to its inventory controls and procedures, the Company lacked a reasonable basis to report inventory metrics; (2) that the Company understated its overhead burden in certain quarters, thereby overstating its adjusted EBITDA; (3) that, as a result of the foregoing, Vintage Wine was reasonably likely to incur significant charges to restate prior reporting; and (4) that, as a result of the foregoing, Defendant’s positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
For more information on the Vintage Wine class action go to: https://bespc.com/cases/VWE
SolarEdge, Inc. (NASDAQ: SEDG)
SolarEdge is incorporated in the state of Delaware and its principle executive offices are located at 700 Tasman Dr., Milpitas, California 95035. SolarEdge provides solar power optimization and photovoltaic (“PV”) monitoring solutions for solar energy systems, offering optimizers, inverters, monitoring equipment, tools, and accessories for power harvesting, conversion, and efficiency while serving customers worldwide. Two main parts of SolarEdge’s solar energy systems are its power optimizers and inverters. A power optimizer can be described as a direct current to direct current (“DC to DC”) converter technology developed to maximize the energy harvest from solar PV systems. An inverter, also referred to as the “brains” of a solar energy system, converts the DC power (or “raw” energy) from the PV modules into alternating current (“AC”) power (or “usable” energy) that runs in a user’s home.
SolarEdge readily admits that inverters have “critical” importance because while inverters account for less than 10% of system cost, those components manage 100% of system production and are “critical for the long term financial performance of a PV system as it can maximize energy production and reduce lifetime costs.” Since SolarEdge started commercialized shipments of solar energy systems in 2010, over 3.7 million inverters and 89 million power optimizers were shipped worldwide.
Throughout the Class Period, Defendants made materially false and misleading statements, and failed to disclose material adverse facts about the Company’s business, operational, and compliance policies. Specifically, Defendants made false and/or misleading statements and failed to disclose to investors that: (i) the designs of the power optimizers, inverters, and components thereof used to develop SolarEdge’s products potentially originated with and were misappropriated from Ampt LLC (“Ampt”), a competitor in the renewable energy industry; (ii) Ampt made claims against the Company for misappropriating Ampt’s patented technology, (iii) evidentiary support existed for the allegations that SolarEdge misappropriated certain patents relating to the design and development of the Company’s power optimizers and inverters; (iv) as a result, SolarEdge faced a threat of regulatory and/or court action, which could prohibit the import, marketing, and sale of its power optimizers and inverters, including solar energy systems that contain such products; which in turn (v) seriously threatened SolarEdge’s ability to monetize on their solar energy systems that contain the power optimizers and inverters in the United States and generate revenue; and (vi) certain revenues generated from the sale of power optimizers and inverters were potentially based on SolarEdge’s unlawful activities, including the misappropriation of patented designs by Ampt.
The investing public learned of this alleged patent infringement on July 28, 2022 when the U.S. International Trade Commission (“ITC”) agreed to review a patent infringement case filed by Ampt against SolarEdge on July 28, 2022. The news of the ITC’s vote to institute an investigation of SolarEdge on August 29, 2022 caused a precipitous and immediate decline in the price of SolarEdge shares. While SolarEdge’s stock price opened at $284.23 on August 29, 2022, the news of ITC’s vote resulted in SolarEdge’s stock price to fall approximately 1.4% to close at $279.46 on August 29, 2022. This news caused SolarEdge to lose market capitalization of $265 million on August 29, 2022.
But the bad news were far from over. On October 19, 2022, investors learned the gravity of the ITC’s investigation when Judge Connolly in the District Court of Delaware stayed a parallel proceeding filed against SolarEdge by Ampt and based on substantially similar allegations, styled Ampt, LLC v. SolarEdge Tech., Inc., No. 1:22-cv-00997 (D. Del.) (“Delaware Proceeding”) pending the ITC’s investigation. On this news, shares of SolarEdge stock fell 2.3% to close at $199.46 on October 19, 2022.
As a result of SolarEdge’s wrongful acts and omissions, and the precipitous decline in the market value of SolarEdge’s common shares, Plaintiff and other Class members have suffered significant losses and damages.
For more information on the SolarEdge investigation go to: https://bespc.com/cases/SEDG
About Bragar Eagel & Squire, P.C.:
Bragar Eagel & Squire, P.C. is a nationally recognized law firm with offices in New York, California, and South Carolina. The firm represents individual and institutional investors in commercial, securities, derivative, and other complex litigation in state and federal courts across the country. For more information about the firm, please visit www.bespc.com. Attorney advertising. Prior results do not guarantee similar outcomes.
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