PTRA - Gainey McKenna & Egleston Announces A Class Action Lawsuit Has Been Filed Against Proterra Inc. (PTRA)

NEW YORK, July 17, 2023 (GLOBE NEWSWIRE) -- Gainey McKenna & Egleston announces that a securities class action lawsuit has been filed in the United States District Court for the Northern District of California on behalf of all persons or entities who purchased the securities of Proterra Inc. (“Proterra” or the “Company”) (NASDAQ: PTRA) between August 2, 2022 and March 15, 2023, both dates inclusive (the “Class Period”).

Proterra designs and manufactures zero-emission electric transit vehicles and electric vehicle solutions for commercial applications. On August 2, 2022, Proterra’s Chief Financial Officer, defendant Karina Franco Padilla, described Proterra’s strong financial position and stated that “we have . . . the balance sheet to . . . ride out potential economic turbulence over the next year.”

The Complaint alleges that Defendants made false and/or misleading statements and/or failed to disclose that: (i) Proterra repeatedly stated the $523 million of cash on its balance sheet meant Proterra had abundant liquidity and financial stability; and (ii) Proterra’s new Greer, South Carolina factory would continue to improve production efficiency and gross margins.

On March 15, 2023, Proterra announced it had a net loss of $81 million and a gross loss of $20.3 million for the fourth quarter of 2022. Proterra also disclosed it expected the audit report to be included in its Form 10-K annual report would contain a going concern qualification, which would be an event of default under Proterra’s debt agreements. Finally, Proterra disclosed it had obtained a limited waiver under its convertible notes for violating a minimum liquidity event. On this news, the price of Proterra stock fell more than 53%, damaging investors.

Investors who purchased or otherwise acquired shares of Proterra should contact the Firm prior to the September 12, 2023 lead plaintiff motion deadline. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation.  If you wish to discuss your rights or interests regarding this class action, please contact Thomas J. McKenna, Esq. or Gregory M. Egleston, Esq. of Gainey McKenna & Egleston at (212) 983-1300, or via e-mail at tjmckenna@gme-law.com or gegleston@gme-law.com .

Please visit our website at http://www.gme-law.com for more information about the firm.