Before trading opened on June 6, 2023, noted short seller Hindenburg Research published a report titled “Tingo Group: Fake Farmers, Phones, and Financials—The Nigerian Empire That Isn’t.” The Hindenberg Report alleged that Tingo’s purportedly state-of-the-art facilities it claims to be building do not exist, that it has contracts with customer and suppliers who deny ever having heard of Tingo, and has hundreds of millions of dollars in cash reserves that are unaccounted for. Tingo’s repeated lies to investors began after the acquisition of Tingo Mobile and Tingo Foods from entities controlled by defendant Dozy Mmobuosi, an entrepreneur who has fabricated his educational and professional background and gained hundreds of millions of dollars in the transactions with Tingo.

Following this news, Tingo’s share price fell $1.23 per share, or 48%, to close at $1.32.

The complaint alleges that throughout the Class Period, the defendants failed to disclose to investors that: (1) Tingo overstated its revenue and other accounting metrics, creating a false impression of success; (2) Tingo was not meaningfully engaged in many of the business activities that it claimed would drive future growth; and (3) many of Tingo’s supposed contracts with customers and suppliers did not exist.

Investors who purchased or acquired Tingo Group securities between December 1, 2022 and June 6, 2023, may no later than August 7, 2023, seek to be appointed as a lead plaintiff representative of the class.