The Law Offices of Vincent Wong announce that a class action lawsuit has been commenced in the United States District Court for the Southern District of New York on behalf of investors who purchased Dingdong (Cayman) Ltd. (NYSE: DDL) American Depository Shares pursuant or traceable to documents issued in connection with Dingdong’s June 2021 initial public stock offering.
According to the Dingdong lawsuit, the registration statement and prospectus used to effectuate the Company’s initial public offering misstated and/or omitted facts concerning Dingdong’s so-called commitment to ensuring the safety and quality of the food it distributes to the market. For example, despite claiming that it applies “stringent quality control across [its] entire supply chain to ensure product quality to [its] users,” Dingdong sold food past its sell-by date. Consequently, Dingdong was, in fact, no better at providing or assuring access to “fresh” groceries than the supermarkets, traditional Chinese wet markets, or traditional e-commerce platforms it repeatedly claimed to be displacing. Moreover, the foregoing conduct subjected Dingdong to an increased risk of regulatory and/or governmental scrutiny and enforcement, all of which, once revealed, were likely to negatively impact Dingdong’s business, operations, and reputation.
If you suffered a loss in Dingdong you have until October 24, 2022 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn’t require that you serve as a lead plaintiff.
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