A lawsuit was filed on behalf of investors in Beyond Meat, Inc. (NASDAQ: BYND) shares over alleged securities laws violations.
An investor, who purchased shares of Beyond Meat, Inc. (NASDAQ: BYND), filed a lawsuit over alleged violations of Federal Securities Laws by Beyond Meat, Inc. in connection with certain allegedly false and misleading statements.
Investors who purchased shares of Beyond Meat, Inc. (NASDAQ: BYND) have certain options and for certain investors are short and strict deadlines running. Deadline: July 10, 2023. NASDAQ: BYND investors should contact the Shareholders Foundation at firstname.lastname@example.org or call +1(858) 779 – 1554.
El Segundo, CA based Beyond Meat, Inc. is a global producer of plant-based meat substitutes such as Beyond Burgers, Beyond Sausages, Beyond Meatballs, and Beyond Pepperoni. Beyond Meat, Inc. sought to build “meat directly from plants” by faithfully replicating the look, taste, and texture of animal meat using only vegan, non-genetically modified ingredients. Beyond Meat, Inc. found success creating small, sample-sized prototypes of its product offerings and, subsequently, became the best-performing IPO in nearly two decades when it went public in 2019. After going public, Beyond Meat, Inc. launched a series of high-profile partnerships with foodservice providers such as Starbucks, McDonalds, KFC, Pizza Hut, and Taco Bell.
On October 22, 2021, Beyond Meat, Inc. announced that the Company was reducing its third quarter net revenues outlook by up to $34 million, or 25%. As part of the announcement, Beyond Meat, Inc. also revealed that the Company’s expenses and inventories were continuing to rise.
On November 10, 2021, after the markets closed, Beyond Meat, Inc. announced a $1.8 million inventory write-off, blaming Covid-19 and product repackaging costs.
On November 17, 2021, Bloomberg published an article highlighting the delays in product roll out and execution challenges Beyond Meat, Inc. was facing. That article, citing five former Beyond Meat, Inc. employees, laid bare the Company’s ongoing scaling problems and how those problems were tarnishing the Company’s relationships with potential partners.
On December 9, 2021, multiple media sources reported that Taco Bell had cancelled a planned test of Beyond Carne Asada due to ongoing quality concerns.
On October 14, 2022, Beyond Meat, Inc. announced the departure of several of its top executives, including its Chief Operating Officer, Chief Growth Officer, and Chief Financial Officer.
Shares of Beyond Meat, Inc. (NASDAQ: BYND) declined to $11.90 per share on October 24, 2022.
According to the complaint the plaintiff alleges on behalf of purchasers of Beyond Meat, Inc. (NASDAQ: BYND) common shares between May 5, 2020 and October 13, 2022, that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that between May 5, 2020 and October 13, 2022, the Defendants made numerous materially false and misleading statements and omissions concerning the Company’s ability to produce plant-based meats at scale. Specifically, Defendants repeatedly assured investors that Beyond Meat conducted “extensive testing” to “ensure manufacturability” of its plant-based meat products at commercial scale, and touted the success of the Company’s product tests with its large-scale partnerships as “very positive.”
Further, the plaintiff alleges that the Defendants blamed any delays in launching these large-scale partnerships on Covid-19, and that in reality, Beyond Meat, Inc. struggled to manufacture its meat substitutes at scale to the specifications of its partners.
The plaintiff claims that according to current and former employees of the Company, Beyond Meat, Inc. suffered from widespread scaling issues, misaligned and delayed decision-making, and severe production delays, that these problems led some partners to balk at the high price of Beyond Meat’s products and express doubts about the Company’s ability to produce them at commercial scale, and that as a result of Defendants’ misrepresentations and omissions, Beyond Meat common stock traded at artificially inflated prices between May 5, 2020 and October 13, 2022.
Those who purchased shares of Beyond Meat, Inc. (NASDAQ: BYND) have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North
San Diego, CA 92108
About Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, and an investor advocacy group, which does research related to shareholder issues and informs investors of securities lawsuits, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. Referenced cases, investigations, and/or settlements are not filed/initiated/reached and/or are not related to Shareholders Foundation. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.
This release was published on openPR.