GigaCloud (GCT) Investor Settlement
GigaCloud ($GCT) has reached a settlement with investors over claims that it misled them about the authenticity of its marketplace revenues and the use of artificial intelligence in its operations.
Outline
In 2022, GigaCloud presented itself as a tech-driven B2B e-commerce platform leveraging artificial intelligence to optimize logistics and operations. However, reports later revealed that a significant portion of its reported revenue originated from undisclosed related-party transactions connected to insiders. Following these disclosures, $GCT fell nearly 19%, and GigaCloud faced a lawsuit from investors.
Timeline
August 18, 2022 – GigaCloud completed its IPO and began trading on NASDAQ under the ticker $GCT.
September 28, 2023 – Culper Research published a report alleging that GigaCloud generated substantial revenue from undisclosed related parties. $GCT fell 18.8%.
October 4, 2023 – Investors filed a lawsuit, claiming GigaCloud misrepresented its customer base and revenue authenticity.
May 2025 – GigaCloud agreed to a settlement.
Background
GigaCloud operates a global B2B e-commerce platform specializing in large-parcel merchandise like furniture and fitness equipment. The company marketed itself as a logistics innovator powered by artificial intelligence, reporting rapid growth and high customer engagement.
However, in late 2023, research from Culper and Grizzly revealed that over half of GigaCloud’s revenue stemmed from related-party transactions involving companies controlled by insiders. These affiliations were not disclosed in regulatory filings, raising concerns about the integrity of its financial reporting.
Following the reports, $GCT dropped nearly 19%, and investors filed suit alleging GigaCloud misled the public about the independence of its revenues and exaggerated its technological capabilities.
What Can Investors Expect Now?
GigaCloud ($GCT) has reached a settlement with investors over claims that it misled them about the authenticity of its marketplace revenues and the use of artificial intelligence in its operations.
If you were damaged due to this situation, you can file for a payout and get your share of the settlement. You can check if you are eligible and other details in the FAQ section below.
Frequently Asked Questions
All persons and entities who purchased or otherwise acquired the publicly traded common stock of Dell Technologies Inc. during the Class Period, from October 29, 2018 through February 28, 2019, inclusive.
No, if you have purchased securities within the class period, you are eligible to participate.
You can participate in the settlement and retain (or sell) your securities.
The entire process usually takes 4 to 9 months after the claim deadline. But the exact timing depends on the court and settlement administration.
The final payout amount depends on your specific trades and the number of investors participating in the settlement.
If 100% of investors file their claims - the average payout will be $0.0573 per share. Although typically only 25% of investors file claims, in this case, the average recovery will be $0.2292 per share.
If you're eligible, you can file your claim directly from this case page by clicking the "Collect Payout" button.
More than 100 companies are currently paying out settlements. Connect your brokerage account to automatically check which ones you may have missed — or file manually for this case.
11th.com is an investor recovery company that helps investors track and collect securities class action settlements. We will:
1. Prepare documents for your payout.
2. Audit the claim and make sure you get the maximum possible payout.
3. File a claim with the settlement administration.
4. Correspond with the settlement administration to resolve emerging issues.
5. Deliver payout directly to your brokerage account.
There is no upfront cost, but we will deduct 20% of the recovered amount as a commission for our services.