Coupang IPO Documents Misled Traders Before Selloff, Suit Says

Coupang Inc. leaders misled investors around the e-commerce giant’s 2021 initial public offering, which was the largest in the US by a foreign company since Alibaba Group Holding Limited, a new suit says.

Leadership at the South Korean e-commerce company spent more than a year misrepresenting its employee, customer, and supplier relations, according to the shareholder derivative complaint filed Wednesday in US District Court for the Southern District of New York.

Starting with the IPO registration statement, Coupang’s relationship with its workers and suppliers were described in positive terms, despite ongoing issues with both at the company. Soon after ...