Mynaric AG Faces Legal Action After Major Financial Revelations

Investors Urged to Act Before December 30, 2024 Deadline

The Law Offices of Frank R. Cruz remind investors about the deadline on December 30, 2024 to file a motion to be the lead plaintiff in a class action lawsuit. This case affects those who bought Mynaric AG (“Mynaric” or the “Company”) MYNA securities between June 20, 2024 and October 7, 2024 (the “Class Period”).

If you’re a shareholder who has experienced losses, click here to get involved.

On August 20, 2024, Mynaric announced that it now expected its full-year 2024 IFRS-15 revenue to be between EUR 16.0 million and EUR 24.0 million. This was a significant drop from previous guidance which had predicted revenue between EUR 50.0 million and EUR 70.0 million. The company attributed this change to “production delays of CONDOR Mk3 caused by lower than expected production yields and component supplier shortages.” Additionally, Mynaric warned that its operating loss for the same year was likely to be between EUR 50.0 million and EUR 55.0 million, an increase from earlier estimates of EUR 30.0 million to EUR 40.0 million due to these setbacks. The company’s Chief Financial Officer also voluntarily left for personal reasons around this time.

Following this announcement, Mynaric’s stock price dropped by $2.32, or 55.9%, closing at $1.83 per share on August 20, 2024, resulting in substantial losses for investors.

Later, on August 26, 2024, Mynaric’s Supervisory Board decided to mutually terminate the role of the Chief Executive Officer as chairman and management board member.

As a result of this announcement, the stock price fell by an additional $0.11, or 9.7%, closing at $1.02 per share on August 27, 2024.

On October 8, 2024, Mynaric revealed it had received a deficiency letter from the Nasdaq Stock Market, indicating the company was “no longer in compliance with the Nasdaq continued listing criteria” because it failed to maintain a minimum market value of $50 million in listed securities. This situation further jeopardized its position as a publicly traded entity.

That day, the stock dropped again by $0.07, or 4.4%, to close at $1.53 per share, compounding investors’ losses.

The class action lawsuit claims that throughout the Class Period, Mynaric’s executives made false or misleading statements and failed to disclose key adverse facts about the Company’s operations and outlook. Specifically, they did not inform investors that (1) production delays were caused by lower-than-expected production yields and component shortages; (2) these issues would negatively impact revenue growth and result in operating losses; (3) the company was unlikely to meet its 2024 financial guidance; (4) and thus, the financial prospects presented to investors were overly optimistic and misleading.

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If you purchased Mynaric securities during the Class Period, you can move the Court by December 30, 2024 to request to be the lead plaintiff in this class action. There’s no need to take immediate action if you don’t wish to; you can choose to seek legal counsel or remain an uninvolved member of the class. For further information or questions about this notice or your rights in this lawsuit, please contact Frank R. Cruz at The Law Offices of Frank R. Cruz, 2121 Avenue of the Stars, Suite 800, Century City, California 90067 at 310-914-5007, by email at info@frankcruzlaw.com, or visit www.frankcruzlaw.com. If contacting via email, please include your mailing address, phone number, and number of shares purchased.

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View source version on businesswire.com: https://www.businesswire.com/news/home/20241227904534/en/