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Embark Technology, Inc. Class Action Lawsuit - EMBK

Company Name
Embark Technology, Inc.
Stock Symbol
EMBK; EMBKW
Class Period
January 12, 2021 to January 5, 2022
Motion Deadline
May 31, 2022
Court
Northern District of California
12 days left to seek lead plaintiff status

Case Summary

The Embark class action lawsuit seeks to represent purchasers of Embark Technology, Inc. (NASDAQ: EMBK and EMBKW) f/k/a Northern Genesis Acquisition Corp. II (NYSE: NGAB.U, NGAB, and NGAB WS) securities between January 12, 2021 and January 5, 2022, inclusive (the “Class Period”) and charges Embark as well as certain of its top executive officers with violations of the Securities Exchange Act of 1934.  The Embark class action lawsuit was commenced on April 1, 2022 in the Northern District of California and is captioned Hardy v. Embark Technology, Inc., No. 22-cv-02090.

If you suffered significant losses and wish to serve as lead plaintiff of the Embark class action lawsuit, please provide your information by clicking here.  You can also contact attorney J.C. Sanchez of Robbins Geller by calling 800/449-4900 or via e-mail at jsanchez@rgrdlaw.com.  Lead plaintiff motions for the Embark class action lawsuit must be filed with the court no later than May 31, 2022.

CASE ALLEGATIONS:  Embark develops self-driving software solutions for the trucking industry in the United States.  Embark, originally named Northern Genesis Acquisition Corp. II, was originally a special purpose acquisition company (“SPAC”).  On November 10, 2021, Embark merged with Embark Trucks Inc., a Delaware corporation (“Legacy Embark”), pursuant to which Embark changed its name to “Embark Technology, Inc.” (the “Business Combination”).

The Embark class action lawsuit alleges that, throughout the Class Period, defendants made false and misleading statements and failed to disclose that: (i) Embark had performed inadequate due diligence into Legacy Embark; (ii) Legacy Embark and Embark following the Business Combination held no patents and an insignificant amount of test trucks; (iii) accordingly, Embark had overstated its operational and technological capabilities; (iv) as a result of all the foregoing, Embark had overstated the business and financial prospects of Embark post-Business Combination; and (v) as a result, Embark’s public statements were materially false and misleading at all relevant times.

On January 6, 2022, The Bear Cave published a research report alleging, among other things, “that Embark appears to lack true economic substance” and that its “current evaluation appears to be based on puffery rather than actual substance,” noting that “[t]he company holds no patents, has only a dozen or so test trucks, and may be more bark than bite.”  On this news, Embark’s share price declined by more than 16%, damaging investors.

Robbins Geller has launched a dedicated SPAC Task Force to protect investors in blank check companies and seek redress for corporate malfeasance.  Comprised of experienced litigators, investigators, and forensic accountants, the SPAC Task Force is dedicated to rooting out and prosecuting fraud on behalf of injured SPAC investors.  The rise in blank check financing poses unique risks to investors.  Robbins Geller’s SPAC Task Force represents the vanguard of ensuring integrity, honesty, and justice in this rapidly developing investment arena.

THE LEAD PLAINTIFF PROCESS: The Private Securities Litigation Reform Act of 1995 permits any investor who purchased Embark securities during the Class Period to seek appointment as lead plaintiff in the Embark class action lawsuit.  A lead plaintiff is generally the movant with the greatest financial interest in the relief sought by the putative class who is also typical and adequate of the putative class.  A lead plaintiff acts on behalf of all other class members in directing the class action lawsuit.  The lead plaintiff can select a law firm of its choice to litigate the class action lawsuit.  An investor’s ability to share in any potential future recovery of the class action lawsuit is not dependent upon serving as lead plaintiff.

ABOUT ROBBINS GELLER RUDMAN & DOWD LLP: Robbins Geller Rudman & Dowd LLP is one of the world’s leading complex class action firms representing plaintiffs in securities fraud cases.  The Firm is ranked #1 on the 2021 ISS Securities Class Action Services Top 50 Report for recovering nearly $2 billion for investors last year alone – more than triple the amount recovered by any other plaintiffs’ firm.  With 200 lawyers in 9 offices, Robbins Geller’s attorneys have obtained many of the largest securities class action recoveries in history, including the largest securities class action recovery ever – $7.2 billion – in In re Enron Corp. Sec. Litig.

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