Bragar Eagel & Squire, PC investigate CareDx,
NEW YORK, Jan. 21, 2022 (GLOBE NEWSWIRE) — Bragar Eagel & Squire, PC, a nationally recognized shareholder rights law firm, is investigating potential claims against CareDx, Inc. (NASDAQ : CDNA), Talkspace, Inc. (NASDAQ: TALK), Renesola Ltd. (NYSE: SOL) and WeWork, Inc. (NYSE: WE). Our investigations focus on whether these companies have violated federal securities laws and/or engaged in other illegal business practices. Additional information on each case can be found at the link provided.
CareDx, Inc. (NASDAQ: CDNA)
On January 25, 2021, the Company sold 1,923,077 common shares under a public offering at a public offering price of $91.00 per share.
On October 28, 2021, after the market closed, CareDx released third quarter 2021 financial results in which the company disclosed that the U.S. Department of Justice (“DOJ”) had recently served a Civil Investigation Request requesting documents in connection with an investigation into the False Claims Act. . The DOJ is investigating business practices related to CareDx’s renal testing and phlebotomy services. The Company also disclosed that it had received a subpoena from the United States Securities and Exchange Commission (“SEC”) for similar matters as well as certain accounting and reporting practices, and the Company received a request for information from an anonymous state agency.
On this news, the Company’s stock price fell $19.34 per share, or approximately 27.5%, from $70.34 per share to close at $51.00 per share on October 29. 2021.
For more information on the CareDx survey, visit: https://bespc.com/cases/CDNA
Talkspace, Inc. (NASDAQ: TALK)
On November 15, 2021, post-marketing, Talkspace issued a press release “announcing[ing] . . . that its co-founder and CEO, Oren Frank, has decided to step down as CEO and member of Talkspace’s board of directors, effective today. Shortly thereafter, on the same day, Talkspace issued a press release reporting its financial results for the third quarter of 2021. Among other items, Talkspace disclosed that its net revenue for the quarter “was lower than management expectations due to fewer B2Cs [business-to-consumer] customers and a one-time adjustment to the non-cash reserve for credit losses on receivables related to prior periods.
On this news, the Company’s stock price fell $1.23 per share, or approximately 36.3%, from $3.39 per share to close at $2.16 per share on November 16. 2021.
For more information on the Talkspace survey, visit: https://bespc.com/cases/TALK
Renesola Ltd. (NYSE:SOL)
The investigation focuses on ReneSola’s statements regarding its alleged plans to develop, build, operate and sell solar energy projects in Europe. Specifically, ReneSola has repeatedly touted its growing number of late-stage projects across Europe that would soon be ready to sell the rights to the “notice to proceed” or “NTP” project.
But, on December 2, 2021, analyst Grizzly Research released a scathing report titled “We Believe ReneSola is a Fraudulent Company; Most of the projects never existed. According to the report: (1) “[o]Our on-the-ground due diligence, file review and communications with local municipalities in Europe indicate that SOL has grossly misrepresented its project development pipeline; ” (2) “[m]Most SOL projects are in Europe, but our research indicates that most of these projects apparently do not exist; (3) “SOL could have fabricated projects to give the appearance of a better development pipeline and future savings;” and, (4)”[w]Yet again, SOL continuously classifies projects as “advanced stage” and close to completion, which our research shows as either non-existent or delayed for years.
On this news, ReneSola’s stock price fell $0.50 per share, or 7.62%, to close at $6.06 per share on December 2, 2021.
For more information on the Renesola survey, visit: https://bespc.com/cases/SOL
WeWork, Inc. (NYSE: US)
On December 1, 2021, WeWork disclosed in a U.S. Securities and Exchange Commission filing that “[i]In connection with the preparation of the financial statements as of September 30, 2021, WeWork Inc. (the “Company”) reassessed its application of Accounting Standards Codification (“ASC”) 480-10-S99, Distinguishing Liabilities from Equity, to its accounting classification of the repurchasable Class A common stock (the “Public Stock”) issued as part of the units sold in the IPO by the Company’s predecessor, BowX Acquisition Corp. (“BowX”). The Company had previously classified part of the Public Shares as permanent equity. After further evaluation, the company has determined that the public shares include certain redemption features that are not solely within the control of the company and which, under ASC 480-10-S99, require such shares to be classified as temporary equity in their entirety. Accordingly, WeWork has indicated that certain of its previously released financial statements should not be relied upon and will be restated. In addition, WeWork disclosed that its management concluded that, in light of the classification error described above, there was a material weakness in internal control over financial reporting relating to the interpretation and accounting for certain characteristics. complex public actions.
The stock fell more than 5% in extended trading after the disclosure.
For more information on the WeWork survey, visit: https://bespc.com/cases/WE
About Bragar Eagel & Squire, PC:
Bragar Eagel & Squire, PC 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, derivatives and other complex litigation before state and federal courts across the country. For more information about the company, please visit www.bespc.com. Lawyer advertisement. Prior results do not guarantee similar results.
Bragar Eagel & Squire, CP
Brandon Walker, Esq.
Alexandra B. Raymond, Esq.