According to the lawsuit, during the Class Period, defendants made false and/or misleading statements and/or failed to disclose that:
- BigBear.ai maintained deficient accounting review policies related to the reporting and disclosure of certain non-routine, unusual, or complex transactions;
- as a result, BigBear.ai incorrectly determined that the conversion option within the 2026 Convertible Notes qualified for the derivative scope exception under Accounting Standards Codification (“ASC”) 815-40 and failed to bifurcate the conversion option as required by ASC 815-15;
- accordingly, BigBear.ai had improperly accounted for the 2026 Convertible Notes;
- the foregoing error caused BigBear.ai to misstate various items in several of BigBear.ai’s previously issued financial statements;
- as a result, these financial statements were inaccurate and would likely need to be restated;
- BigBear.ai would require extra time and expense to correct the inaccurate financial statements, thereby increasing the risk that BigBear.ai would be unable to timely file certain financial reports with the SEC; and
- as a result, BigBear.ai’s public statements were materially false and misleading at all relevant times.
No Class Has Been Certified. Until a class is certified, you are not represented by counsel unless you retain one. You may select counsel of your choice. You may also remain an absent class member and do nothing at this point. An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff.
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