Trust Size
$300M
Peak Price
$23.00
Current Price
$0.90
Return
-91.0%
Peak Market Cap
$5.5B
What Happened
Chinese-American battery maker went public at $3B valuation. Hindenburg Research short report alleged fraud and insider enrichment. Stock crashed 91%.
Microvast merged with Tuscan Holdings in July 2021. The company makes lithium-ion batteries for commercial vehicles in China. Hindenburg Research published a devastating short report alleging that the company misrepresented its technology and customer relationships. The SEC opened an investigation. Revenue grew but far below projections, and the stock crashed from $23 to under $1.
Projections vs. Reality
Projected Revenue
$600M
What they told investors
Actual Revenue
$310M
What actually happened
Hype-to-Reality Ratio: 52.0x
Key People
Yang Wu
CEO & Founder
Chinese entrepreneur, controlled via dual-class shares
Timeline
2021-02
SPAC merger announced
2021-07
Merger completed
2021-11
Hindenburg short report
2022-03
SEC investigation opened
2024-01
Stock under $1
🔀 Reverse Stock Split
Reverse split ratio: 1:20. Reverse splits are used to avoid delisting but destroy shareholder value through the illusion of a higher stock price.
⚖️ Legal Actions
• SEC enforcement action or investigation
• Class action lawsuit filed by shareholders
📄 SEC Filings
View all EDGAR filings for Microvast Holdings
Risk Scores
Dilution Score
72/100
Insider Profit Index
65/100
Hype-to-Reality Ratio
52.0x
Projected ÷ actual revenue