ZTO reportedly sued over IPO claims

ZTO Express and the underwriters of its New York stock market listing are reportedly being sued by a pension fund that alleges the firm exaggerated its profit margins to encourage investors to take part in its initial public offering (IPO) last year. According to a report published today (21 July) by Reuters, the suit was filed in Alabama state court by the city of Birmingham’s pension fund.

ZTO’s IPO was the largest US listing in 2016.

Reuters added that a ZTO spokesperson had commented in an email: “We believe the claims are without merit and intend to defend ourselves vigorously.”