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QuantumScape Corporation f/k/a Kensington Capital Acquisition Corp. Securities Class Action

CompanyQuantumScape Corporation f/k/a Kensington Capital Acquisition Corp.
CourtUnited States District Court for the Northern District of California
Case Number21-cv-00058
JudgeHonorable William H. Orrick
Class PeriodNovember 27, 2020 through April 14, 2021
Security TypeSecurities
StatusSettlement Approved
Value$47,500,000

Case Background:

This is a federal securities fraud class action lawsuit on behalf of those who purchased or otherwise acquired QuantumScape Corporation (“QuantumScape”) (NYSE:QS) f/k/a Kensington Capital Acquisition Corp securities between November 27, 2020 and April 14, 2021, inclusive (the “Class Period”). 

According to the complaint, QuantumScape develops and commercializes solid-state lithium-metal batteries for electric vehicles (“EVs”). In 2012, QuantumScape began working with Volkswagen Group of America, Inc. (“Volkswagen”) and Volkswagen Group of America Investments, LLC (“VGA”) to develop an EV battery. In 2018, Volkswagen, VGA and QuantumScape announced the establishment of a joint production project to prepare solid-state batteries for mass production. On September 3, 2020, QuantumScape announced a merger with Kensington. Upon completion of the transaction, QuantumScape would receive $1 billion in financing, including funding from VGA and the Qatar Investment Authority.  That transaction was completed on November 27, 2020, and QuantumScape Class A common stock and warrants began trading on the NYSE.

The complaint alleges that, throughout the Class Period, the Defendants misrepresented and/or failed to disclose to investors that: (1) QuantumScape’s battery technology was not sufficient for EV performance as it would not be able to withstand the aggressive automotive environment; (2) QuantumScape’s battery technology likely provided no meaningful improvement over existing battery technology; (3) the successful commercialization of QuantumScape’s battery technology was subject to much more significant risks and uncertainties than the defendants had disclosed; and (4) as a result of the foregoing, the Defendants materially overstated the value and prospects of QuantumScape’s battery technology.

Current Status of Case:

On January 22, 2025, the Court granted Final Approval of the Class Action Settlement. This action has concluded.  

The deadline to file a claim was December 13, 2024.  If you have any questions or need further information about this settlement, you may go to the following website www.QuantumScapeSettlement.com, or you can contact the claims administrator, A.B. Data, Ltd., at 1-866- 778-9623

If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Kessler Topaz Meltzer & Check, LLP: Jon Naji, Esq. (484) 270-1453; or via e-mail at info@ktmc.com

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