OAKLAND, Calif.--(BUSINESS WIRE)--Shares of Electric Last Mile Solutions plummeted over 23% during after-hours trading on February 1 and another 12% on February 3, 2022, following the company’s announcement that its previously issued consolidated financial statements should be restated and should no longer be relied on. The company’s CEO and Executive Chairman of the Board reportedly resigned in connection with the announcement and a related Special Committee investigation. Gibbs Law Group continues to investigate a potential Electric Last Mile Solutions Class Action Lawsuit on behalf of investors who lost money in Electric Last Mile Solutions, Inc. (NASDAQ: ELMS).
To speak with an attorney regarding this class action lawsuit investigation, click here or call (888) 410-2925.
On Tuesday, February 1, 2022, Electric Last Mile Solutions announced that it would restate its previously issued financial statements for the period as of December 31, 2020, the period from August 20, 2020 (inception) through December 31, 2020, the six months ended June 30, and the nine months ended September 30, 2021. The company added that these statements should “no longer be relied upon.”
In the same announcement, Electric Last Mile Solutions disclosed that the company’s CEO and Executive Chairman of the Board have both resigned following the news of the restatement and a related investigation conducted by a Special Committee of the Board of Directors.
According to the company’s announcement, Electric Last Mile and its advisors are now “evaluating the accounting and treatment of certain equity issuances to executive officers” and cannot at this time estimate when it will refile its restated financial statements.
Following this news, Electric Last Mile Solutions’ stock price dropped over 23% during after-hours trading on February 1, 2022, and continued to plummet by as much as 52% on February 2, 2022, causing significant harm to investors.
What Should Electric Last Mile Solutions Investors Do?
If you invested in Electric Last Mile Solutions, visit our website or contact our securities team directly at (888) 410-2925 to discuss how you may be able to recover your losses. Our investigation concerns whether Electric Last Mile Solutions has violated federal securities laws by providing false or misleading statements to investors.
About Gibbs Law Group
Gibbs Law Group represents investors throughout the country in securities litigation to correct abusive corporate governance practices, breaches of fiduciary duty, and proxy violations. The firm has recovered over a billion dollars for its clients against some of the world’s largest corporations, and our attorneys have received numerous honors for their work, including “Best Lawyers in America,” “Top Plaintiff Lawyers in California,” “California Lawyer Attorney of the Year,” “Class Action Practice Group of the Year,” “Consumer Protection MVP,” and “Top Women Lawyers in California.”
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