June 9, 2021 - An investor in shares of RLX Technology Inc. (NYSE: RLX) filed a lawsuit in the U.S. District Court for the Southern District of New York over alleged violations of Federal Securities Laws by RLX Technology Inc. in connection with certain allegedly false and misleading statements made in connection with RLX’s January 2021 initial public offering (“IPO”).

China based RLX Technology Inc., together with its subsidiaries, researchers, develops, manufactures, distributes, and sells e-vapor products in the People's Republic of China.

RLX Technology Inc. reported that its annual Total Revenue rose from over 1.54 billion CNY in 2019 to over 3.81 billion CNY in 2020, and that its Net Income declined from 47.74 million CNY in 2019 to a Net Loss of 128.1 million CNY in 2020.

On or about January 22, 2021, RLX Technology Inc. (NYSE: RLX) went public issuing over 116 million American Depository Shares (ADS) at $12 per ADS (the "Offering Price"), generating gross proceeds of nearly $1.4 billion.

Since then shares of RLX Technology Inc. (NYSE: RLX) declined to as low as $7.89 per share on March 24, 2021.

According to the complaint the plaintiff alleges on behalf of purchasers of RLX Technology Inc. (NYSE: RLX) common shares, that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that the registration statement and prospectus used to effectuate the Company’s IPO misstated and/or omitted facts concerning the Company’s then-existing exposure to China’s ongoing campaign to establish a national standard for e-cigarettes, which would bring them into line with ordinary cigarette regulations, and that RLX’s reported financials were not nearly as robust as the offering materials projected, nor were they indicative of future results.