PHILADELPHIA, June 13, 2024 (GLOBE NEWSWIRE) -- Kaskela Law LLC announces that it is investigating Evolv Technologies Holdings, Inc. (NASDAQ: EVLV) (“Evolv”), formerly known as SPAC entity NewHold Investment Corp., on behalf of the company’s long-term investors.
Recently a securities fraud complaint was filed against Evolv on behalf of certain investors who purchased shares of the company’s stock between June 28, 2021 and March 13, 2024. According to the complaint, during that time period Evolv and certain of the company’s senior executive officers made a series of false and misleading statements to investors and failed to disclose that: (i) Evolv materially overstated the efficacy of its products; (ii) the lack of effectiveness of Evolv’s with regard to detecting knives and guns led to an increased risk of undetected weapons entering locations such as schools; and (iii) Evolv deceived the general public, its customers, and its investors regarding the effectiveness of its products.
The complaint further alleges that, through a series of partial disclosures between November 2022 and March 2024, investors slowly learned the truth about the company’s prior misrepresentations and suffered economic damages as a result therefrom. For example, on May 23, 2023, BBC News published an article stating that “[a] security firm that sells AI weapons scanners to schools is facing fresh questions about its technology after a student was attacked with a knife that the $3.7 [million] system failed to detect.” On this news, Evolv’s stock fell $0.45 per share, or over 7.5% in value, to close on May 23, 2023 at $5.50 per share.
Similarly, on February 20, 2024, Evolv disclosed that the SEC was “initiating an investigation that was described as a confidential, ‘non-public, fact-finding inquiry.’” On this news, Evolv’s stock fell an additional $0.82 per share, or over 15.6% in value, to close on February 20, 2024 at $4.41 per share, again on heavy trading volume.
The investigation seeks to determine whether the members of Evolv’s board of directors violated the securities laws and/or breached their fiduciary duties in connection with the above alleged misconduct and disclosures.
Current Evolv shareholders who purchased or acquired shares of EVLV stock prior to May 23, 2022 are encouraged to contact Kaskela Law LLC (D. Seamus Kaskela, Esq. or Adrienne Bell, Esq.) at (484) 229 – 0750 for additional information about this investigation and their legal rights and options, or by clicking on the following link (or if necessary, by copying and pasting the link into your browser):
https://kaskelalaw.com/case/evolv-technologies/
Kaskela Law LLC exclusively represents investors in securities fraud, corporate governance, and merger & acquisition litigation on a contingent basis. For additional information about Kaskela Law LLC please visit www.kaskelalaw.com.
CONTACT:
KASKELA LAW LLC
D. Seamus Kaskela, Esq.
(skaskela@kaskelalaw.com)
Adrienne Bell, Esq.
(abell@kaskelalaw.com)
18 Campus Blvd., Suite 100
Newtown Square, PA 19073
(888) 715 – 1740
(484) 229 – 0750
www.kaskelalaw.com
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