DCVC Denied Final Judgments in Zymergen Securities Fraud Case

DCVC Management Co.'s motion for a partial final judgment in a securities fraud case against it was dismissed by a federal court.

Investors alleged that DCVC and two other venture capital groups violated Sections 11 and 15 of the Securities Act by controlling Zymergen Inc. and a member of its board, Matthew Ocko, in the lead-up to Zymergen’s initial public offering. The IPO was valued at $1.2 trillion, but the company allegedly had pipeline issues after the IPO and was ultimately purchased for less than a tenth of its IPO valuation in 2023.

Zymergen investors, lead by Biao Wang, sued ...