San Francisco, California--(Newsfile Corp. - August 10, 2022) - Hagens Berman urges MINISO Group Holdings Limited (NYSE: MNSO) investors who suffered significant losses to submit your losses now.
Visit:www.hbsslaw.com/investor-fraud/MNSO
Contact An Attorney Now:MNSO@hbsslaw.com
844-916-0895
MINISO Group Holdings Limited (NYSE: MNSO) Investigation:
The investigation focuses on MINISO's statements about its core business model and use of its IPO proceeds.
More specifically, MINISO has repeatedly attributed its fast growth to its MINISO Retail Partner model and claimed the model is an asset-light, high-margin network of thousands of allegedly independent franchise stores who shoulder capital expenditures and operating expenses while selling company-branded products.
The company's claims came into serious question on July 26, 2022, when analyst Blue Orca Capital published a scathing report accusing MINISO of lying about the model. In contrast to MINISO's claims, Blue Orca determined that the company itself owns and operates about 40% of MINISO stores and, in addition, hundreds of stores are registered to company executives or persons connected to its Chairman. Blue Orca attributed MINISO's secret ownership and operation of stores to years of declining store revenues and profits and its slashed franchise fee, together indicating "a retail brand in stark decline."
Blue Orca also concluded that, shortly after MINISO completed its $600 million IPO in October 2020 "that MINISO's chairman, Ye Guofu, bilked hundreds of millions of freshly raised capital from public investors through a series of crooked transactions revolving around the purchase and construction of a massive headquarters in China."
This news sent the price of MINISO American Depositary Shares sharply lower on July 26, 2022.
Most recently, on July 29, 2022 Blue Orca responded to MINISO's purported July 28 "rebuttal," and observed in part that the company (1) simply ignored Blue Orca's finding that the company owns and operates about 40% of MINISO stores, and (2) admitted its chairman Ye Guofu did not contribute funds to the RMB 346 million deposit to purchase land for MINISO's headquarters.
"We're focused on investors' losses and whether MINISO lied about the success of the Retail Partner model and the use of its IPO proceeds," said Reed Kathrein, the Hagens Berman partner leading the investigation.
If you invested in MINISO 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 MINISO 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 MNSO@hbsslaw.com.
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About Hagens Berman
Hagens Berman is a global plaintiffs' rights complex litigation law firm focusing on corporate accountability through class-action law. The firm is home to a robust securities litigation practice and represents investors as well as whistleblowers, workers, consumers and others in cases achieving real results for those harmed by corporate negligence and fraud. More about the firm and its successes can be found at hbsslaw.com. Follow the firm for updates and news at @ClassActionLaw.
Contact:
Reed Kathrein, 844-916-0895
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