LOS ANGELES, Oct. 04, 2022 (GLOBE NEWSWIRE) -- Glancy Prongay & Murray LLP (“GPM”) reminds investors of the upcoming October 24, 2022 deadline to file a lead plaintiff motion in the class action filed on behalf of investors who purchased or otherwise acquired Dingdong (Cayman) Limited (“Dingdong” or the “Company”) (NYSE: DDL) American Depository Shares (“ADSs”) pursuant and/or traceable to the Registration Statement and Prospectus issued in connection with Dingdong’s June 2021 initial public stock offering (the “IPO”).
If you suffered a loss on your Dingdong investments or would like to inquire about potentially pursuing claims to recover your loss under the federal securities laws, you can submit your contact information at www.glancylaw.com/cases/dingdong-cayman-limited/. You can also contact Charles H. Linehan, of GPM at 310-201-9150, Toll-Free at 888-773-9224, or via email at shareholders@glancylaw.com to learn more about your rights.
In June 2021, Dingdong conducted its IPO, selling approximately 4.07 million ADSs at $23.50 per ADS.
On March 17, 2022, Beijing News published a report stating that Chinese regulators launched a probe into Dingdong for food safety violations, alleging that the Company “replaced labels on expired vegetables and sold frozen fish products as fresh.”
On this news, Dingdong’s ADS price fell $0.46, or 10.8%, to close at $3.37 per ADS on March 17, 2022, thereby injuring investors.
Since the IPO, the Company’s ADSs have traded as low as $2.51 per share, or 89% below the IPO price.
The complaint filed in this class action alleges that Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) Dingdong was actively flouting its food safety responsibilities, failing to deliver on its stated commitment to provide “fresh” groceries to customers historically disserved by supermarkets, traditional Chinese wet markets, or traditional e-commerce platforms; (2) Dingdong’s quality control measures, which were so heavily touted in the Registration Statement, were, in fact, inadequate, exposing Dingdong to an increased risk of regulatory and/or governmental scrutiny and enforcement; and (3) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
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If you purchased or otherwise acquired Dingdong ADSs pursuant and/or traceable to the IPO, you may move the Court no later than October 24, 2022 to request appointment as lead plaintiff in this putative class action lawsuit. To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. If you wish to learn more about this class action, or if you have any questions concerning this announcement or your rights or interests with respect to the pending class action lawsuit, please contact Charles Linehan, Esquire, of GPM, 1925 Century Park East, Suite 2100, Los Angeles, California 90067 at 310-201-9150, Toll-Free at 888-773-9224, by email to shareholders@glancylaw.com, or visit our website at www.glancylaw.com. If you inquire by email please include your mailing address, telephone number and number of shares purchased.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
Contacts
Glancy Prongay & Murray LLP, Los Angeles
Charles Linehan, 310-201-9150 or 888-773-9224
shareholders@glancylaw.com
www.glancylaw.com
