NEW YORK, Feb. 19, 2023 (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 Caribou Biosciences, Inc. (NASDAQ: CRBU), Inspirato Incorporated (NASDAQ: ISPO), Kornit Digital Ltd. (NASDAQ: KRNT), and Alico, Inc. (NASDAQ: ALCO). Stockholders can petition the court for the role of lead plaintiff by submitting their claims within the time limits. The link below provides additional information on each case.
Caribou Biosciences, Inc. (NASDAQ: CRBU)
The Class Period is Pursuant/or traceable at the November 20, 2021 IPO.
Deadline to Lead Plaintiffs: April 11, 20,23
Caribou, a biopharmaceutical company in clinical stage, focuses on the development and commercialization of allogeneic gene-edited cell therapies to treat solid and hematologic tumors. The Company is developing, among other product candidates, CB-010, an allogeneic anti-CD19 CAR-T cell therapy1 that is in a Phase 1 clinical trial, referred to as “ANTLER”, to treat relapsed or refractory B cell non-Hodgkin lymphoma (“r/r B-NHL”).
According to Defendants, CB-010 is the first clinical-stage allogeneic anti-CD19 CAR-T cell therapy with programmed cell death protein 1 (“PD-1”) removed from the CAR-T cell surface by a genome-edited knockout of the PDCD1 gene, which purportedly sets CB-010 apart from other allogeneic CAR-T cells by, inter alia, improving the “persistence” of antitumor activity.
On July 1, 2021, Caribou filed a registration statement on Form S-1 with the SEC in connection with the IPO, which, after several amendments, was declared effective by the SEC on July 22, 2021 (the “Registration Statement”).
On July 23, 2021, pursuant to the Registration Statement, Caribou’s common stock began publicly trading on the Nasdaq Global Select Market (“NASDAQ”) under the ticker symbol “CRBU”. That same day, Caribou filed a prospectus on Form 424B4 with the SEC in connection with the IPO, which incorporated and formed part of the Registration Statement (the “Prospectus” and, collectively with the Registration Statement, the “Offering Documents”).
Caribou distributed 19 million common shares to the public pursuant to the Offering documents at a price of $16.00 each share. Proceeds of $282.72million to the Company before expenses and applicable underwriting discount.
Because the Offering Documents had been prepared incorrectly, they contained misleading statements or left out other relevant facts to ensure that the statements were true. They also failed to follow the regulations and rules regarding their preparation. Additionally, throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operations, and prospects. Specifically, the Offering Documents and Defendants made false and/or misleading statements and/or failed to disclose that: (i) CB-010’s treatment effect was not as durable as Defendants had led investors to believe; (ii) accordingly, CB-010’s clinical and commercial prospects were overstated; and (iii) as a result, the Offering Documents and Defendants’ public statements throughout the Class Period were materially false and/or misleading and failed to state information required to be stated therein.
On June 10, 2022, Caribou issued a press release reporting “[p]ositive” data from the ANTLER Phase 1 clinical trial. Among other results, Caribou reported that “[a]t 6 months following the single dose of CB-010, [only] 40% of patients stayed in CR [complete response] (2 of 5 patients) as of the May 13, 2022 data cutoff date”, prompting investor concern over the durability of the CB-010 treatment.
On this news, Caribou’s stock price fell $1.78 per share, or 20.41%, to close at $6.94 per share on June 10, 2022.
Then, on December 12, 2022, Caribou issued a press release “report[ing] The ongoing ANTLER Phase 1 trial has new 12 month clinical data. [purportedly] Please show[ed] longterm durability following a single infusion of CB-010 at the initial dose level 1 (40×106 CAR-T cells).” Among other results, Caribou reported that “3 of 6 patients maintained a durable CR at 6 months” and “2 of 6 patients maintain a long-term CR at the 12 month scan and remain on the trial”, thereby confirming investor fears that the CB-010 treatment lacked significant durability.
On this news, Caribou’s stock price fell $0.81 per share, or 9.03%, to close at $8.16 per share on December 12, 2022.
Caribou’s common stock continued to trade at below $16.00 per Share Offering prices as of this Complaint. This is a negative development for investors.
As a result of Defendants’ wrongful acts and omissions, and the precipitous decline in the market value of Caribou’s securities, Plaintiff and other Class members have suffered significant losses and damages.
For more information on the Caribou class action go to: https://bespc.com/cases/CRBU
Inspirato Incorporated (NASDAQ: ISPO)
The Class Period is May 11, 2022 through December 15, 2022
Deadline to Lead Plaintiffs: April 17, 20,23
The Complaint alleges that the Company provided misleading and false statements to market. Inspirato’s financial statements for the quarters ending March 31, 2022 and June 30, 2022 (collectively, the “Non-Reliance Periods”) could not be relied upon. Incorrectly applying Accounting Standards Update (ASU No. 2016-02, Leases (Topic 842) (“ASC 842”), resulting in the unreliability of the Non-Reliance Periods. Based on these facts, the Company’s public statements were false and materially misleading throughout the class period. The market found out the truth about Inspirato and investors were able to recover their losses.
For more information on the Inspirato class action go to: https://bespc.com/cases/ISPO
Kornit Digital Ltd.
The Class Period is from February 17, 2021 to July 5, 2022
Deadline to Lead Plaintiffs: April 17, 20,23
Kornit develops and produces industrial digital printing technology for textile, garment and apparel industries. The Company’s digital inkjet printers enable end-users to print both direct-to-garment (“DTG”) and direct-to-fabric (“DTF”). Design and images are directly printed onto textiles, such as apparel and clothing. In DTF printing, large rolls of fabric pass through wide inkjet printers that print images and designs directly onto swaths of fabric that are then cut and sewn into a product, and can be used in the fashion and home décor industries. Kornit sells inks, as well as other supplies for its digital printers. Kornit offers customer service contracts that provide technical support and other services to its printers.
The Class Period saw the company offer its customers software services, such as a complete suite of fulfillment and production solutions known as KornitX. It provides automated workflows and inventory management, along with production systems.
The Company’s largest customer is multinational e-commerce company, Amazon.com, Inc. (“Amazon”). Among the largest of Kornit’s other customers during the Class Period were Delta Apparel, Inc. (“Delta Apparel”), a leading provider of activewear and lifestyle apparel products, and Fanatics, Inc. (“Fanatics”), a global digital sports platform and leading provider of licensed sports merchandise. Kornit earns over 60% of its revenue from the ten largest customers. Accordingly, it was critically important for Kornit to maintain those major customers as well as continue to grow its customer base in order to achieve the Company’s ambitious goal of “becoming a $1 billion revenue company in 2026.”
Throughout the Class Period, Kornit repeatedly touted the purported competitive advantages provided by its technology and assured investors that it faced virtually no meaningful competition in the “direct-to-garment” printing market. Kornit claimed there was strong demand in its digital printing systems and consumable products such as textile dyes. Kornit also offered services that helped customers manage their customer workflows as well as to help them maintain and manage digital printers. Kornit further assured investors that the purportedly strong demand for the Company’s products and services would enable it to maintain its existing customer base and attract new customers that would limit the risks associated with a substantial portion of its revenues being concentrated among a small number of large customers.
These statements and others made during the Class Period are false. In truth, Kornit and its senior executives knew, or at a minimum, recklessly disregarded, that the Company’s digital printing business was plagued by severe quality control problems and customer service deficiencies. Those problems and deficiencies caused Kornit to cede market share to competitors, which, in turn, led to a decrease in the Company’s revenue as customers went elsewhere for their digital printing needs. Because of this misrepresentation, Kornit Ordinary Shares traded at artificially elevated prices for the entire Class Period.
Investors began to learn the truth on March 28, 2022, when Delta Apparel and Fanatics—two of Kornit’s major customers—announced that for months they had collaborated with one of Kornit’s principal competitors to develop a new digital printing technology that directly competed with products and services Kornit offered. Delta Apparel said that four of the company’s digital printers had been equipped with this technology and it was planning to add more. The utilization of this new, competing technology by Delta Apparel and Fanatics reflected the widespread dissatisfaction of Kornit’s major customers with the Company’s product quality and customer service, and meant that Kornit would likely lose revenue from two of its most important customers.
Kornit posted a net loss for its first quarter in 2022. This was despite reporting revenue that exceeded expectations. It had a profit $5.1 million over the previous year. The Company also issued revenue guidance for the second quarter of 2022 that was significantly below analysts’ expectations. Kornit attributed its disappointing guidance to a slowdown in orders from the Company’s customers in the e-commerce segment. Additionally, Kornit admitted that for at least two quarters the Company knew that Delta Apparel was one of the largest customers and had bought digital printing equipment from a competitor to Kornit. The disclosures led to a drop in the Kornit share price by $18.78/share, 33.3%.
Kornit announced on July 5, 2022 that there would be a substantial revenue gap for the second half of 2022. Kornit expects revenue to range between $56.4million and $59.4million for the quarter. This figure is significantly lower than the revenue guidance that Kornit provided in May 2022, which was $85million to $95million. Kornit attributed the substantial revenue miss to “a significantly slower pace of direct-to-garment (DTG) systems orders in the second quarter as compared to our prior expectations.” As a result of these disclosures, the price of Kornit ordinary shares declined by an additional $8.10 per share, or 25.7%.
As a result of Defendants’ wrongful acts and omissions, and the precipitous decline in the market value of the Company’s shares, Plaintiff and other Class members have suffered significant losses and damages.
For more information on the Kornit class action go to: https://bespc.com/cases/KRNT
Alico, Inc. (NASDAQ: ALCO)
The Class Period is from February 4, 2021 to December 13, 2022
Deadline for Lead Plaintiff: April 18, 2023
Alico operates in the U.S. together with its affiliates as an agricultural and land management firm. Alico Citrus and Land Management and Other Operations are the two main segments that make up the company. Alico Citrus grows citrus trees in order to supply fresh and processed markets. Land Management and Other Operations is responsible for the management and ownership of land in Collier and Glades Counties. It also leases land to be used for recreation, grazing, conservation and mining purposes.
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) Alico had deficient disclosure controls and procedures and internal control over financial reporting; (ii) as a result, the Company had improperly calculated Alico’s deferred tax liabilities over a multi-year period; (iii) accordingly, the Company would likely be required to restate one or more of its previously issued financial statements; (iv) the foregoing would impede the timely completion of the audit of the Company’s financial results in advance of its year-end earnings call; and (v) as a result, the Company’s public statements were materially false and misleading at all relevant times.
Alico released a press statement on December 6th 2022 announcing the Company’s postponement of its annual earnings call. Specifically, the press release stated that “additional time is required for completion of the audit of its financial results for the period ended September 30, 2022 by its independent registered public accounting firm.”
On this news, Alico’s stock price fell $3.06 per share, or 10.42%, to close at $26.29 per share on December 6, 2022.
Alico then issued on December 7, 2022 a press release informing the public about further delays encountered by the Company when reporting its fiscal year results for 2022 and filing the necessary SEC filings. In the press release, the Company disclosed that “[t]he key item that is requiring such additional time involves evaluation of the proper amount of the Company’s Deferred Tax Liability, particularly certain portions of that Deferred Tax Liability arising in prior fiscal years, including those going back to fiscal year 2019 or possibly several years before fiscal year 2019.”
Finally, on December 13, 2022, Alico filed with the SEC its Annual Report on Form 10-K for the year ended September 30, 2022 (the “2022 10-K”). In the 2022 10-K, Alico “restate[d] the Company’s previously issued audited consolidated balance sheet, audited consolidated statements of changes in equity and related disclosures as of September 30, 2021 included in the Company’s Annual Report on Form 10-K for the year ended September 30, 2021 (the ‘2021 10-K’) previously filed with the SEC and the Company’s previously issued unaudited consolidated balance sheet, unaudited consolidated statements of changes in equity and related disclosures as of the end of each quarterly periods ended June 30, 2022, March 31, 2022, December 31, 2021, June 30, 2021, March 31, 2021 and December 31, 2020 included in the Company’s respective Quarterly Report on Form 10-Q for each of the quarters then ended previously filed with the SEC (together with the 2021 10-K, the ‘Financial Statements’).” The Company also disclosed that “[o]n December 12, 2022, the audit committee (the ‘Audit Committee’) of the board of directors of the Company concluded that the Company’s previously issued Financial Statements can no longer be relied upon due to an error identified during the completion of the 2022 10-K.” Specifically, Alico stated that “[t]he error that led to the Audit Committee’s conclusion relates to the calculation of the deferred tax liabilities for the fiscal years 2015 through 2019, which resulted in a cumulative reduction in the Company’s deferred tax liability, and a corresponding cumulative increase in retained earnings, of approximately $2,512,000 on the Company’s balance sheet as of September 30, 2022.”
On this news, Alico’s stock price fell $2.64 per share, or 9.53%, to close at $25.05 per share on December 14, 2022.
As a result of Defendants’ wrongful acts and omissions, and the precipitous decline in the market value of the Company’s securities, Plaintiff and other Class members have suffered significant losses and damages.
For more information on the Alico class action go to: https://bespc.com/cases/ALCO
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