ZombieEV/Automotive

What Happened to Microvast Holdings?

Ticker: MVSTSPAC Year: 2021Merger: 2021

Return

-91.0%

Current Price

$0.9

Peak Price

$23

Trust Size

$300M

Summary

Chinese-American battery maker went public at $3B valuation. Hindenburg Research short report alleged fraud and insider enrichment. Stock crashed 91%.

What Happened

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.

Key People

Yang WuCEO & 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

Risk Indicators

⚠ïļ Reverse Split🏛ïļ SEC Action⚖ïļ Class Action Lawsuit