RADNOR, Pa., Oct. 8, 2021 /PRNewswire/ -- The law firm of Kessler Topaz Meltzer & Check, LLP is currently investigating potential violations of the federal securities laws on behalf of shareholders of Ginkgo Bioworks Holdings, Inc. (NYSE: DNA) ("Ginkgo") f/k/a Soaring Eagle Acquisition Corp. (Nasdaq: SRNG) ("Soaring Eagle").
Ginkgo develops platform for cell programming. Its platform is used to program cells to enable biological production of products, such as novel therapeutics, food ingredients, and chemicals derived from petroleum. Ginkgo serves various end markets, including specialty chemicals, agriculture, food, consumer products, and pharmaceuticals.
On October 6, 2021, analyst Scorpion Capital published an investigative report concluding "Ginkgo is a house of cards – in our opinion, one of the most brazen frauds of the last 20 years." The report claimed that Ginkgo's business model is a related-party model whereby essentially 100% of the company's deferred revenue are derived from related-party "customers" it created, funded, controls or influences via its ownership position and board seats. The report also alleged that Ginkgo has engaged in a brazen effort to misclassify and misreport related-party revenue and deceive investors with phony accounting and at least half of Ginkgo's reported foundry revenue is phantom, non-cash and "pure accounting hocus-pocus."
Following this news, Ginkgo's stock price fell $1.39, or over 11%, to close at $10.59 per share on October 6, 2021.
Kessler Topaz Meltzer & Check, LLP prosecutes class actions in state and federal courts throughout the country involving securities fraud, breaches of fiduciary duties and other violations of state and federal law. Kessler Topaz Meltzer & Check, LLP is a driving force behind corporate governance reform, and has recovered billions of dollars on behalf of institutional and individual investors from the United States and around the world. The firm represents investors, consumers and whistleblowers (private citizens who report fraudulent practices against the government and share in the recovery of government dollars). For more information about Kessler Topaz Meltzer & Check, LLP, please visit www.ktmc.com.
CONTACT: Kessler Topaz Meltzer & Check, LLP James Maro, Jr., Esq. 280 King of Prussia Road Radnor, PA 19087 (844) 887-9500 [email protected]