NEW YORK – The New York-based law firm Lowey Dannenberg is investigating claims of violations of federal securities laws on behalf of investors of Danimer Scientific, the firm said in a news release.
On March 20, The Wall Street Journal published an article titled “Plastic Straws That Quickly Biodegrade in the Ocean, Not Quite, Scientists Say” concerning Danimer’s claims that Nodax — a plant-based plastic that Danimer markets — breaks down far more quickly than fossil-fuel plastics, according to the news release.
The article alleged that, according to several experts on biodegradable plastics, “many claims about Nodax are exaggerated and misleading.” Danimer reportedly says its claims are factual, but at least one expert is cited as stating that making broad claims about Nodax’s biodegradability “is not accurate” and is “greenwashing.”
On March 22, the first trading day following the publication of the article concerning potentially inflated claims about Nodax, Danimer’s shares fell $6.43 per share, about 13%, to close at $43.55 per share, according to the news release.
Danimer shareholders who wish to participate, learn more or discuss issues surrounding the investigation may contact the firm’s attorneys at 914-733- 7256 or via email at investigations@lowey.com.