Twist Bioscience Corporation Securities Class Litigation

Introduction

Securities class action litigation has been filed on behalf of investors who purchased or otherwise acquired the common stock of Twist Bioscience Corporation (“Twist” or the “Company”) (NASDAQ: TWST) from December 13, 2019 through November 14, 2022, inclusive (the “Class Period”).

If you purchased or otherwise acquired Twist common stock during the Class Period, you may move the Court for appointment as lead plaintiff by no later than February 10, 2023.  A lead plaintiff is a representative party who acts on behalf of other class members in directing the litigation. Your share of any recovery in the actions will not be affected by your decision of whether to seek appointment as lead plaintiff.  You may retain Lieff Cabraser, or other attorneys, as your counsel in the action.

Twist investors who wish to learn more about the litigation and how to seek appointment as lead plaintiff complete the form below, text or email investorinfo@lchb.com, or call Sharon M. Lee of Lieff Cabraser at 1-800-541-7358.

Background on the Twist Securities Class Litigation

Twist, a Delaware corporation with its principal executive office in South San Francisco, California, is a biotechnology company that manufactures synthetic DNA and DNA products.    Synthetic DNA products allow users to design and modify DNA for the purposes of

academic research, enhancing specialty chemical production, and developing healthcare treatments, among other uses.  At the core of Twist’s business is, allegedly, “a proprietary technology that pioneers a new method manufacturing synthetic DNA by writing DNA on a silicon chip,” which the Company claims to make that manufacturing process both more efficient and cost-effective.

The securities class action alleges that throughout the Class Period, Twist and its senior representatives made materially false and/or misleading statements, as well as failed to disclose that Defendants overstated the commercial viability of Twist’s synthetic DNA manufacturing technology while engaging in accounting fraud and using unsustainable pricing to inflate the company’s true financial condition and prospects.

The truth about Twist’s financial health was revealed on November 15, 2022, when investment research firm Scorpion Capital (“Scorpion”) published a report (the “Scorpion Report”) alleging that Twist is “a cash-burning inferno that is not a going concern.” Specifically, Scorpion claimed that Twist’s purported DNA chip technology is a “farce” comparable to Theranos Inc.’s now infamous non-existent blood-testing technology, and that Twist’s growth and revenues are unsustainable, among other issues.

According to the Scorpion Report, Twist is perpetuating its fraud through false reporting of capital expenditures and gross margins.  Scorpion further alleged that Twist’s growth is dependent upon unsustainable pricing strategies, such as using below-cost prices to undercut competitors by as much as 70% to 85%. Ultimately, the Scorpion Report concluded that Twist is “operating a Ponzi-like scheme that will end in bankruptcy.”

In response to the revelations in the Scorpion Report, the price of Twist common stock fell $7.57 per share, or nearly 20%, from its closing price of $38.00 per share on November 14, 2022, to close at $30.43 per share on November 15, 2022.

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    Lieff Cabraser Heimann & Bernstein, LLP, with offices in San Francisco, New York, Nashville, and Munich, is an internationally-recognized law firm committed to advancing the rights of investors and promoting corporate responsibility. Recognized as a “Plaintiffs’ Powerhouse” by Law360, Lieff Cabraser has litigated some of the most important civil cases in the United States, and has assisted clients in recovering over $127 billion in verdicts and settlements. Law360 has selected Lieff Cabraser as one of the Top 50 law firms nationwide for litigation, highlighting our firm’s “laser focus” and noting that our firm routinely finds itself “facing off against some of the largest and strongest defense law firms in the world.” In 2021, The American Lawyer named our firm its “Boutique Litigation Firm of the Year.” Benchmark Litigation has named Lieff Cabraser one of the “Top 10 Plaintiffs’ Firms in America,” and listed us as its “2020 California Plaintiff Firm of the Year.” Lieff Cabraser is committed to ensuring access to justice for all.

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