AXT (AXTI) China Subsidiary Issues Case

• On April 4, 2024, J Capital Research published a report accusing AXT of multiple violations in its China subsidiary through which AXT conducts most of its business.

• On it, $AXTI fell 34.95%, losing $76M+ of shareholder value.

• Affected $AXTI investors may join the claim to be notified about potential recovery

On April 4, 2024, J Capital Research published a report claiming that the U.S.-listed AXT:

• Conducts almost all of its business operations through a subsidiary in China;

• Planned to obtain new financing by listing that subsidiary in China but the Chinese regulators blocked the IPO.

The report further claims that the reasons for the Chinese IPO failure include falsifying data, tax evasion, improper storage of hazardous chemicals, suspicious related-party transactions, IP litigation, and defaulting on employee wages.

On this news, $AXTI fell 34.95% and lost over $76M of its market capitalization, seriously damaging shareholders.

One of AXTI's investors has already filed a claim vs. AXT in the E.D. of New York court.