Kaplan Fox Urges Microvast Holdings, Inc. (MVST) Investors Seeking Recovery to Contact the Firm Before September 21, 2026

Kaplan Fox & Kilsheimer LLP announces that a class action lawsuit has been filed against Microvast Holdings, Inc. ("Microvast" or the "Company") (NASDAQ: MVST) on behalf of investors that purchased or otherwise acquired Microvast securities between April 1, 2025 and March 16, 2026 (the "Class Period").

According to the complaint, at the outset of the Class Period, Microvast announced the expansion of its manufacturing facility located in Huzhou, China, dubbing the initiative "Huzhou Phase 3.2", claiming that its increased production capacity would be online before the end of 2025. The complaint also alleges defendants likewise advised investors to expect improved margins, touting a supposed "strategic repositioning away from low-margin segments" and a new "focus . . . towards more profitable, higher-value opportunities." Further, the complaint alleges that defendants made false and misleading statements and failed to disclose that (i) due to, inter alia , inventory management issues and delays in commercial vehicle rollouts by Microvast's customers, Defendants had overstated Microvast's ability to reach its margin targets, and (ii) Defendants overstated Microvast's ability to complete the Huzhou Phase 3.2 expansion by the end of 2025.

Through a series of disclosures the truth was allegedly disclosed starting on June 25, 2025 with the publication of a Grizzly Research report alleging that Microvast "is fabricating a significant part of its business and capabilities," including by overstating the level of activity at its production facilities, including the Huzhou facility, and likewise overstating the prospective economic opportunities from its commercial partnerships.

Microvast's final disclosure allegedly occurred, on March 16, 2026 when Microvast issued a press release reporting its financial and operating results for the quarter and year ended December 31, 2025. According to the complaint, Microvast reported that gross margin declined to approximately 1% for the quarter, down sharply from approximately 36% for the same period in the prior year, which the Company attributed to inventory impairment charges arising from "specialized ESS components." Additionally, according to the complaint, the Company reported revenue of $96.5 million for the quarter, representing a 15% year-over-year decrease, attributing this result to "regulatory shifts in South Korea and delays in customer platform ramp-up" in Europe, the Middle East, and Africa.

Kaplan Fox & Kilsheimer LLP is a nationally recognized law firm focused on complex litigation, with offices in New York, Oakland, Los Angeles, Chicago, and New Jersey. Founded in 1956, the firm has spent more than 50 years prosecuting securities, antitrust, and consumer protection actions in federal and state courts nationwide, recovering more than $10 billion for clients and the classes it has represented. Kaplan Fox is widely regarded as one of the nation's premier plaintiffs' securities litigation firms and has received recognition from Chambers and Partners, Benchmark Litigation, Super Lawyers, and Lawdragon. Serving as lead or co-lead counsel in many landmark cases, the firm has secured some of the largest recoveries in the history of securities litigation, including a $2.425 billion recovery on behalf of Bank of America shareholders in ...