OAKLAND, Calif.--(BUSINESS WIRE)--A Grab Holdings Class Action Lawsuit has been filed on behalf of investors who lost money in Grab Holdings (NASDAQ: GRAB), and the deadline for submitting losses is May 16, 2022. The stock currently has a Sentiment Score of Bearish from InvestorsObserver, and according to Motley Fool, shares of the Southeast Asian rideshare and food delivery app company Grab Holdings have now plummeted 39.2% in March overall. Grab’s managing director Nguyen Thai Hai Van is now set to resign at the end of April, and Grab’s head of technology Wui Ngiap Foo left at the end of March to lead a block-chain gaming platform, according to Bloomberg and LinkedIn. If you invested in Grab Holdings between November 12, 2021, and March 3, 2022, please reach out to Gibbs Law Group to discuss your legal rights and options.
To speak with an attorney regarding this class action lawsuit investigation, click here or call (888) 410-2925.
According to Bloomberg, Grab Holdings’s price has been cut by more than half since the beginning of 2022, and yet the company continues to “splurge” on subsidies. In its quarterly report released on March 3, 2022, Grab Holdings noted that it had invested heavily in raising incentives to bring in drivers as pandemic threats eased and the demand for ride-shares grew. But despite Grab’s optimistic forecast following the company’s IPO in December 2021, revenue plummeted 44% to $122 million in their fourth quarter, widening its losses to $1.1 billion—much higher than its $635 million loss a year prior.
According to CNBC, Grab channeled a large amount of money into incentives to hold on to its market leader position, and to bring in drivers to “[catch] up in terms of supply.” However, as more people started to dine out as the threat from COVID lessened, demand for food delivery services dropped and revenue from Grab’s delivery unit plummeted 98%. Revenue from its mobility unit—which was accountable for 85% of overall sales—declined 27% in its fourth quarter alone.
Previously, Grab Holdings had gone public in December 2021 via a SPAC merger with Altimeter Growth Corp.
What Should Grab Investors Do?
If you invested in Grab Holdings, 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 Grab Holdings has violated federal securities laws.
About Gibbs Law Group
Gibbs Law Group represents individual and institutional 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,” “Top Class Action Attorneys Under 40,” “Consumer Protection MVP,” and “Top Cybersecurity/ Privacy Attorneys Under 40.”
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