SAN FRANCISCO, May 31, 2021 (GLOBE NEWSWIRE) -- Hagens Berman urges Aterian, Inc. (NASDAQ: ATER) f/k/a Mohawk Group Holdings (MWK) investors with significant losses to submit your losses now.
Aterian, Inc. (NASDAQ: ATER) Securities Fraud Class Action :
The complaint alleges that Aterian falsely touted its core business, recent acquisitions, and the functionality of AIMEE – the company’s purported artificial intelligence platform that allows users to manage products on online marketplaces.
In reality, (1) Aterian’s organic growth is plummeting, (2) its self-lauded acquisitions were overpayments for flawed assets from questionable sources, (3) its AIMEE is flawed and lacks customer interest, and (4) it uses rebates and pays for artificial reviews to pump up product offerings.
The truth emerged on May 4, 2021, when analyst Culper Research published a scathing report entitled “Aterian (ATER): Bought from Felons & Fraudsters, Sold to You.” Among other things, Culper accuses the company of having ties to convicted criminals, overhyping its AIMEE platform, and using “garbage acquisitions” to conceal its “ill-conceived core business.”
This news drove the price of Aterian shares crashing sharply lower on May 4, 2021.
Recently, on May 18, 2021, Aterian’s Chief Revenue Officer (Tomer Pascal) dumped over $1.6 million of his recently-vested stock, even as Aterian shares sit near YTD lows. This comes on the heels of Pascal dumping over $4.9 million Aterian shares in Mar. 2021.
“We’re focused on investors’ losses and proving Aterian misled investors about its acquisitions and the AIMEE platform,” said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you are an Aterian investor and have significant losses, or have knowledge that may assist the firm’s investigation, click here to discuss your legal rights with Hagens Berman.
Whistleblowers: Persons with non-public information regarding Aterian should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 844-916-0895 or email ATER@hbsslaw.com.
About Hagens Berman
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Reed Kathrein, 844-916-0895