Ride-hailing firm Ryde hit by shareholder litigation and class action lawsuit
Shareholder Octava Fund seeks for its shares to be bought out, while US-filed suit brings accusations of pump-and-dump
Singapore-based ride-hailing firm Ryde is facing two legal cases, one initiated by shareholder Octava Fund and the other a class action lawsuit filed in the US. Octava Fund is seeking to buy out its 6.9 million shares or wind up the company due to improper governance, breach of duty and other issues. Ryde filed a statement on Sep 18, stating that the shareholder petition is at an early stage and they remain in control of the company.
The class action lawsuit accuses Ryde of participating in a pump-and-dump scheme to defraud investors, alleging that the company used financial advisers to create a buying frenzy among retail investors, causing the share price to spike and then crash.
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