NEW YORK, April 21, 2022 (GLOBE NEWSWIRE) — Pomerantz LLP announces that a class action lawsuit has been filed against Grab Holdings Limited (“Grab” or the “Company”) (NASDAQ: GRAB; GRABW) and certain of its officers . The class action, filed in the United States District Court for the Southern District of New York and registered as 22-cv-03277, is on behalf of a class consisting of all persons and entities other than defendants. who have purchased or otherwise acquired Grab securities. between August 2, 2021 and March 3, 2022 inclusive (the “Class Period”). Plaintiff is pursuing claims against defendants under the Securities Exchange Act of 1934 (the “Exchange Act”).
If you are a shareholder who purchased or otherwise acquired Grab securities during the class period, you have until May 16, 2022 to ask the court to name you as the lead plaintiff in the class. A copy of the complaint can be obtained at www.pomerantzlaw.com. To discuss this action, contact Robert S. Willoughby at [email protected] or 888.476.6529 (or 888.4-POMLAW), toll-free, Ext. 7980. Those making inquiries by e-mail are encouraged to include their mailing address, phone number and number of shares purchased.
[Click here for information about joining the class action]
Grab offers a great app that works primarily in the delivery, mobility, and digital financial services industries in Southeast Asia.
On December 1, 2021, Grab became a public entity through a business combination with Altimeter Growth Corp., a special purpose acquisition company.
Between late 2019 and early 2020, a new strain of the coronavirus disease, commonly referred to as COVID-19, became an ongoing global pandemic, with the outbreak first identified in Wuhan, China in December 2019. The virus quickly spread to other countries. , including the United States, urging state, federal and private parties to adopt various health and safety measures to halt the spread of the disease, which has since claimed millions of lives.
The Complaint alleges that throughout the Class Period, the Defendants made materially false and/or misleading statements, and failed to disclose material adverse facts regarding the Company’s business, operations and prospects. Specifically, the defendants failed to disclose to investors: (1) that Grab overestimated its business and financial prospects after the business combination; (2) that, despite the ongoing COVID-19 pandemic, Grab’s financial projections did not take into account the general consequences of the pandemic, which included increased demand for driver supply; (3) that Grab’s pilot supply declined during the third quarter; (4) that, as a result, Grab continued to invest heavily in driver and consumer incentives to “preemptively recalibrate the driver supply”; (5) that as a result, the Company’s financial results would be adversely affected, including, among other things, a significant decline in revenues; and (6) that as a result of the foregoing, defendants’ positive statements about the company’s business, operations and prospects were materially misleading and/or lacked reasonable basis.
On March 3, 2022, at 7:01 a.m. EST, more than two years after the onset of the ongoing COVID-19 pandemic, Grab disclosed that its fourth quarter revenue was down 44% from the prior quarter and reported a loss of $1.1 billion for the quarter. Grab’s chief financial officer attributed poor financial results to “investment[ing] heavily” in driver incentives and said it would take one or two quarters “to get that balance between drivers and users, between supply and demand”.
Following this news, the company’s share price fell $1.95, or 37.3%, to close at $3.28 per share on March 3, 2022, on unusually high trading volume. raised.
Pomerantz LLP, with offices in New York, Chicago, Los Angeles, Paris and Tel Aviv, is recognized as one of the leading law firms in the areas of corporate litigation, securities and antitrust. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, Pomerantz pioneered the field of securities class actions. Today, more than 85 years later, Pomerantz continues the tradition he established, fighting for the rights of victims of securities fraud, breaches of fiduciary duty and corporate misconduct. The firm recovered numerous multimillion-dollar damages on behalf of class members. To see www.pomlaw.com
Robert S. Willoughby
888-476-6529 ext. 7980