| COMPANY |
Ebang International Holdings, Inc. |
| COURT |
United States District Court for the Southern District of New York |
| CASE NUMBER |
21-cv-03060 |
| JUDGE |
The Honorable Katherine Polk Failla |
| CLASS PERIOD |
June 26, 2020 and April 5, 2021 |
| SECURITY TYPE |
Class A Ordinary |
Case Background:
The Class Period commences on June 26, 2020, when Ebang filed its prospectus in connection with its initial public offering (the “IPO”). On October 23, 2020, Ebang filed its registration statement on a Form F-1 for an offering of Class A ordinary shares and warrants to purchase Class A ordinary shares. It was subsequently amended on October 26, 2020, November 6, 2020, and November 16, 2020 before Ebang filed a related prospectus on a Form 424b4 on November 20, 2020.
The complaint alleges that, throughout the Class Period, the Defendants failed to disclose to investors that: (1) the proceeds from Ebang’s public offerings had been directed to low yield, long term bonds to an underwriter and to related parties rather than used to develop Ebang’s operations; (2) Ebang’s sales were declining, and Ebang had inflated reported sales, including through the sale of defective units; (3) Ebang’s attempts to go public in Hong Kong had failed due to allegations of embezzling investor funds and inflated sales figures; (4) Ebang’s purported cryptocurrency exchange was merely the purchase of an out-of-the-box crypto exchange; and (5) as a result of the foregoing, the defendants’ positive statements about Ebang’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
Current Status of Case:
On October 1, 2021, Lead Plaintiff filed a Notice of Voluntary Dismissal. The Court closed the case on October 4, 2021. This action has concluded.
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