Blink Charging Company Class Action Lawsuit
- Company Name
- Blink Charging Company
- Stock Symbol
- Class Period
- March 6, 2020 to August 19, 2020
- Southern District of Florida
The Blink Charging Company class action lawsuit charges Blink Charging and certain of its officers with violations of the Securities Exchange Act of 1934 and seeks to represent purchasers of Blink Charging common stock between March 6, 2020 and August 19, 2020, inclusive (the “Class Period”). The Blink Charging class action lawsuit was commenced on August 24, 2020 in the Southern District of Florida and is captioned Bush v. Blink Charging Company, No. 20-cv-23527.
Blink Charging purports to be a leading owner, operator, and provider of electric vehicle (“EV”) charging equipment and networked charging services.
The Blink Charging class action lawsuit alleges that during the Class Period, defendants made false and/or misleading statements and/or failed to disclose that: (i) many of Blink Charging’s charging stations were damaged, neglected, non-functional, inaccessible, nor non-accessible; (ii) Blink Charging’s purported partnerships and expansions with other companies were overstated; (iii) Blink Charging’s purported network growth had been overstated; and (iv) as a result, Blink Charging’s public statements were materially false and misleading at all relevant times.
On August 19, 2020, analyst Culper Research published a report, entitled “Blink Charging Co. (BLNK): You Won’t Miss It,” concluding, among other things, that “[Blink Charging] has vastly exaggerated the size of its EV charging network in order to siphon money from the pockets of investors to insiders. Blink [Charging] claims that ‘EV drivers can easily charge at any of its 15,000 charging stations,’ but we estimate that [Blink Charging]’s functional public charging station network consists of just 2,192 stations, a mere 15% of this claim.” That same day, analyst Mariner Research Group published another report, concluding that Blink Charging’s “revenue growth has significantly seriously lagged the EV industry – yet CEO [Michael D.] Farkas made >$7M in compensation during this period. We believe that this is due to persistent issues around product quality, customer churn, and user experience, and believe that these issues will continue to hamper [Blink Charging]’s growth.” On this news, the price of Blink Charging stock fell from a close of $10.23 per share on August 18, 2020 to a close of $7.94 per share on August 20, 2020 – representing a two-day drop of approximately 22.4%.
Robbins Geller Rudman & Dowd LLP is one of the world’s leading law firms representing investors in securities class action litigation. With 200 lawyers in 9 offices, Robbins Geller has obtained many of the largest securities class action recoveries in history. For seven consecutive years, ISS Securities Class Action Services has ranked the Firm in its annual SCAS Top 50 Report as one of the top law firms in the world in both amount recovered for shareholders and total number of class action settlements. Robbins Geller attorneys have helped shape the securities laws and have recovered tens of billions of dollars on behalf of aggrieved victims. Beyond securing financial recoveries for defrauded investors, Robbins Geller also specializes in implementing corporate governance reforms, helping to improve the financial markets for investors worldwide. Robbins Geller attorneys are consistently recognized by courts, professional organizations and the media as leading lawyers in the industry.