MP MATERIALS Investors With Losses Greater Than $50,000 Encouraged To Contact Kehoe Law Firm, P.C.

Securities Class Action Investigation On Behalf Of Investors Of MP Materials

PHILADELPHIA, PA, USA, October 27, 2021 /EINPresswire.com/ -- Kehoe Law Firm, P.C. is investigating potential class action² securities claims on behalf of investors of MP Materials¹ Corp. (“MP³ Materials” or the “Company”) (NYSE: MP) to determine whether MP Materials engaged in securities fraud or other unlawful business practices.

Grizzly Research (“Grizzly”) recently published a research report which, among other things, stated that “[t]he [C]ompany was able to sell itself to investors touting the fact that MP [Materials] is the biggest rare earth producer in the western world, and the only feasible competitor to Chinese producers.”

“In reality, [Grizzly] believe[s] that this is nothing more than a smoke and mirrors show. [Grizzly] found that Shenghe, a related party that accounts for 99% of MP’s revenue, and a signi¬cant shareholder, can be traced back to the Chinese central government.”

Grizzly also reported that “MP is the second iteration of the same mining venture (Molycorp) that previously ended in bankruptcy. However, Chamath and his friends were able to bring MP public again at a 300x valuation increase in only three years without signifi¬cant business improvements.”

Grizzly reported that “MP’s mine generates nowhere near the economic essence needed to support the current valuation due to the fact that MP mostly mines less valuable rare earth, namely Cerium and Lanthanum. It does not participate in the favorable trend in rare earth prices the same way competitors do[,]” and “[t]he projections that MP puts forth seem completely unattainable, and the company needs to incur capital expenditures that might lead it back into bankruptcy.”

On this news, the stock of MP Materials dropped significantly, thereby injuring investors of MP Materials.

MP MATERIALS INVESTORS WHO HAVE SUFFERED LOSSES GREATER THAN $50,000 ARE ENCOURAGED TO CONTACT EITHER JOHN KEHOE, ESQ., (215) 792-6676, EXT. 801, JKEHOE@KEHOELAWFIRM.COM, OR MICHAEL YARNOFF, ESQ., (215) 792-6676, EXT. 804, MYARNOFF@KEHOELAWFIRM.COM, INFO@KEHOELAWFIRM.COM, TO DISCUSS THE CLASS ACTION INVESTIGATION OR POTENTIAL LEGAL CLAIMS.

Kehoe Law Firm, P.C., with offices in New York and Philadelphia, is a multidisciplinary, plaintiff–side law firm dedicated to protecting investors from securities fraud, breaches of fiduciary duties, and corporate misconduct. Combined, the partners at Kehoe Law Firm have served as Lead Counsel or Co-Lead Counsel in cases that have recovered more than $10 billion on behalf of institutional and individual investors.

This press release may constitute attorney advertising.

John Kehoe, Esq.
Kehoe Law Firm, P.C.
2157926676, EXT. 801
jkehoe@kehoelawfirm.com

¹ https://kehoelawfirm.com/class-action-investigations/mp-materials-nyse-mp
² https://kehoelawfirm.com/active-investigations
³ https://kehoelawfirm.com/class-action-investigations/mp-materials-nyse-mp