PHILADELPHIA, April 06, 2021 (GLOBE NEWSWIRE) — Kaskela Law LLC announces that a shareholder class action lawsuit has been filed against XL Fleet Corp. (“XL Fleet” or the “Company”) (NYSE:XL), formerly known as Pivotal Investment Corp. II (“Pivotal”) (NYSE:PIC), on behalf of investors who purchased or acquired XL or PIC securities between October 2, 2020 and March 2, 2021 (the “Class Period”).
On September 18, 2020, Pivotal, a publicly traded Special Purpose Acquisition Company, announced that it had entered into a definitive agreement to merge with XL. According to the complaint, in connection with the proposed transaction, Pivotal filed a defective Registration Statement with the SEC which contained numerous materially false and misleading statements about XL Fleet’s business, operations, and prospects. Following the filing of the Registration Statement, shares of the Company’s stock increased in value to over $32.00 per share by December 23, 2020.
On March 3, 2021, Muddy Waters published a report entitled “XL Fleet Corp. (NYSE:XL): More SPAC Trash,” alleging, among other things, that salespeople “were pressured to inflate their sales pipelines materially in order to mislead XL’s board and investors” and that “customer reorder rates are in reality quite low” due to “poor performance and regulatory issues.” Citing interviews with former employees, the report also alleged that “at least 18 of 33 customers XL featured were inactive.” Following this report, shares of the Company’s stock fell over 34% in value over the following week, to close at $10.48 per share on March 8, 2020.
XL Fleet investors who purchased or acquired PIC or XL securities prior to December 7, 2020 are encouraged to contact Kaskela Law LLC (D. Seamus Kaskela, Esq.) at (484) 258 – 1585, or by email at firstname.lastname@example.org or online at https://kaskelalaw.com/case/xl-fleet-corp/, for additional information about this action and their legal rights and options.
Kaskela Law LLC exclusively represents investors in securities fraud, corporate governance, and merger & acquisition litigation. For additional information about Kaskela Law LLC please visit www.kaskelalaw.com