Hyzon Motors Inc. (HYZN)
Bronstein, Gewirtz & Grossman, LLC is investigating potential claims on behalf of purchasers of Hyzon Motors Inc. (“Hyzon” or the “Company”) (NASDAQ: HYZN). Investors who purchased Hyzon securities are encouraged to obtain additional information and assist the investigation.
The investigation concerns whether Hyzon has violated federal securities laws.
On August 17, 2022, Hyzon issued a press release disclosing that it had received a non-compliance notice from the Nasdaq Stock Market because the Company had failed to timely file its quarterly report on Form 10-Q with the U.S. Securities and Exchange Commission (“SEC”) for the second quarter ended June 30, 2022. That press release further advised “that the Company must submit a plan . . . no later than October 14, 2022, addressing how it intends to regain compliance with Nasdaq’s listing rules.” That same day, Hyzon issued another press release disclosing that “the Company’s Board of Directors has appointed Parker Meeks, most recently Hyzon’s Chief Strategy Officer, as President and Interim Chief Executive Officer, effective immediately, replacing Craig Knight who is also departing from his role as a director of the Company” and that the Company’s Executive Chairman “George Gu has transitioned from his executive role with the Company to the non-executive Chairman of the Board.” Then, on August 18, 2022, Hyzon filed a report with the SEC disclosing, among other things, that “[o]n August 4, 2022, the Audit Committee of the Board of Directors of the Company (the ‘Board’), based on the recommendation of management, determined that the Company’s previously issued financial statements included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2021” and “the Company’s previously issued financial statements included in the Company’s Quarterly Report on Form 10-Q for the three month period ended March 31, 2022”, including related statements (collectively, the “Non-Reliance Periods”), should no longer be relied upon. That filing further disclosed that “[t]he Company intends to restate the consolidated financial statements relating to the Non-Reliance Periods, as soon as practicable, upon the conclusion of the investigation into revenue recognition timing, presentation, internal controls and procedures, primarily pertaining to its China operations.” Hyzon’s report also advised that “based on the facts and circumstances known to date, the Company currently anticipates that the primary impact of the restatement will be a deferral of a significant portion of the revenue and expense recognized by the Company’s China operations for the quarter ended December 31, 2021, to a later period” and the Company “is also analyzing the associated timing and presentation of revenue recognized for the quarter ended December 31, 2021 and the quarter ended March 31, 2022.” Additionally, Hyzon’s report disclosed that “the Company determined that there has been an impairment of its investment in Global NRG H2 Limited, a New Zealand corporation, totaling the carrying value, which was approximately $2.5 million as of June 30, 2022” and “is in the process of evaluating the appropriate timing of which period such impairment should be reflected.” Moreover, the same report disclosed that although “[m]anagement previously reported a material weakness in the Company’s internal control over financial reporting in its previously issued financial statements filed on Form 10-K for the year ended December 31, 2021 and on Form 10-Q for the three month period ended March 31, 2022[,]” the Company “anticipates identifying and reporting one or more material weaknesses as the investigation progresses and the restatement is finalized.” On this news, Hyzon’s stock price fell $0.31 per share, or 13.48%, to close at $1.99 per share on August 19, 2022.
If you are aware of any facts relating to this investigation or purchased Hyzon shares you can assist this investigation . You can also contact Peretz Bronstein or his law clerk and client relations manager, Yael Nathanson of Bronstein, Gewirtz & Grossman, LLC: 212-697-6484.
Bronstein, Gewirtz & Grossman, LLC represents investors in securities fraud class actions and shareholder derivative suits. The firm has recovered hundreds of millions of dollars for investors nationwide. Attorney advertising. Prior results do not guarantee similar outcomes.