Electric Car Co.’s $2.4B Deal Was Built On Lies, Investor Says
Lauren Berg, 05 April 2021
In the midst of its $2.4 billion merger with blank-check company Hennessy Capital, electric car maker Canoo waited until after the market closed to tell investors it was changing its business focus, causing its stock to plummet, according to a proposed class action filed Friday in California federal court.
In December, Los Angeles-based Canoo Holdings Ltd. went public in a merger with Hennessy Capital Acquisition Corp., but didn’t tell investors it was turning its focus away from the plan to sell vehicles through a subscription model and that it was de-emphasizing its engineering services business, according to the complaint filed by investor Justin Kojak. Continue reading “Article: Electric Car Co.’s $2.4B Deal Was Built On Lies, Investor Says”
