-
If you purchased a significant amount of shares of Churchill Capital Corp IV (NYSE: CCIV) between January 11, 2021 and February 22, 2021, and / or if you purchased any NYSE: CCIV shares prior to January 2021 and continue to hold any of those shares, you have certain options and for certain investors are short and strict deadlines running. Deadline: June 18, 2021. NYSE: CCIV investors should contact the Shareholders Foundation, Inc.
-
To have your information reviewed for options and to receive notifications about this case, please send an email to mail@shareholdersfoundation.com, or call us at (858) 779-1554.
Lawsuit Overview
April 18, 2021 - An investor in shares of Churchill Capital Corp IV (NYSE: CCIV) filed a lawsuit in the U.S. District Court for the Northern District of Alabama over alleged violations of Federal Securities Laws by Churchill Capital Corp IV in connection with certain allegedly false and misleading statements made between January 11, 2021 and February 22, 2021.
New York based Churchill Capital Corp IV does not have significant operations. Atieva, Inc. d/b/a Lucid Motors accessed the public securities markets via a Special Acquisition Company, otherwise known as a “SPAC”. A SPAC provides a way for money-losing companies to raise money for continued operations with less oversight than a traditional IPO.
On January 11, 2021, it was reported that Lucid “is in talks to go public through a merger with one of Michael Klein’s special purpose acquisition companies, according to people familiar with the matter.” Michael Klein launched Churchill Capital Corp IV (NYSE: CCIV) in April 2020 and raised $2,070,000,000 in Churchill Capital Corp IV’s initial public offering. It was rumored that Lucid was merging with Churchill Capital Corp IV (NYSE: CCIV).
On February 16, 2021, Lucid’s Chief Executive Officer, Peter Rawlinson, appeared on Fox Business News with Neil Cavuto touting that Lucid was aiming for a spring delivery of its first vehicles. On February 22, 2021, a merger between Churchill Capital Corp IV (NYSE: CCIV) and Lucid Motors, Inc. ("Lucid") was announced. CCIV and Lucid’s transaction equity value was estimated at $11.75 billion.
Shortly thereafter on that same date, Lucid's Chief Executive Officer announced that production of its debut car would be delayed until at least the second half of 2021, with no definite date for set for actual delivery of an actual vehicle. Details of the merger also disclosed that Lucid was projecting the production of only 557 vehicles in 2021, instead of the 6,000 it had been touting in the run-up to the merger announcement.
Shares of Churchill Capital Corp IV (NYSE: CCIV) declined from $63.20 per share on February 22, 2021, to as low as $20.40 per share on March 5, 2021, respectively $17.25 per share on May 13, 2021.
According to the complaint the plaintiff alleges on behalf of purchasers of Churchill Capital Corp IV (NYSE: CCIV) common shares between January 11, 2021 and February 22, 2021, that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that between January 11, 2021 and February 22, 2021, that the Defendants failed to disclose to investors that Lucid was not prepared to deliver vehicles by spring of 2021, that Lucid was projecting a production of 557 vehicles in 2021 instead of the 6,000 vehicles touted in the run-up to the merger with Churchill Capital Corp IV, and that as a result of the foregoing, Defendants' positive statements about the Company's business, operations, and prospects were materially misleading and/or lacked a reasonable basis.