MP Materials Corp.

According to the complaint, defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the company’s business, operations, and prospects. Specifically, defendants allegedly failed to disclose to investors that:

(i) Fortress Value Acquisition Corp. (FVAC) had overstated its due diligence efforts and expertise with respect to identifying target companies to acquire;

(ii) FVAC performed inadequate due diligence into MP Mine Operations LLC (MPMO) and Secure Natural Resources LLC (SNR) prior to the business combination, or else ignored significant red flags regarding, inter alia, MPMO’s and SNR’s management, compliance policies, and Mountain Pass’s profitability;

(iii) as a result, the company’s future business and financial prospects post-business combination were overstated;

(iv) MP Materials engaged in an abusive transfer price manipulation scheme with a related party in the People’s Republic of China to artificially inflate the company’s profits;

(v) MP Materials’ ore at Mountain Pass was not economically viable to harvest for rare earth metals; and

(vi) as a result, the company’s public statements were materially false and misleading at all relevant times.