Twist Bioscience Lacks DNA Tech, Hides Losses, Investor Says (1)

The value of Twist Bioscience Corp.'s stock dropped 20% upon release of a recent report saying the synthetic DNA maker’s business was largely illusory, an investor says in a proposed class action.

The short-sale research firm Scorpion Capital LLC concluded that Twist is disguising most of its $95 million in annual expenditures through a facility-building hoax, that it touts a nonexistent “proprietary” DNA technology, and that it unsustainably undercuts competitors by pricing its services well below cost, shareholder Anthony Joseph Peters says. Peters filed the complaint Monday in the US District Court for the Northern District of California.

Per Scorpion, ...