Coupang, Inc. Faces Expanded Securities Class Action Lawsuit Amid Data Breach Concerns

In a crucial development for investors and customers of Coupang, Inc. (NYSE: CPNG), the well-known national shareholder rights law firm Hagens Berman has announced the filing of a second securities class action lawsuit. This expands the class period for potential claims and highlights significant concerns surrounding data security and corporate transparency.

The expanded class period now covers investors who purchased Coupang securities from May 7, 2025, to December 16, 2025. Coupled with this is a firm deadline for potential lead plaintiffs set for February 17, 2026, as the firm seeks to represent those who experienced substantial financial losses during this timeframe.

Concerns Raised

The focal point of this lawsuit is the alleged misrepresentation of Coupang's controls regarding disclosure, cybersecurity protocols, and its overall transparency related to a severe data breach. The breach reportedly allowed a former employee to access extensive sensitive customer data, raising alarm among stakeholders.

After the markets closed on May 6, 2025, Coupang filed its quarterly report for the first quarter of the year. In this filing, the company assured investors about the robustness of its disclosure controls and procedures, stating that there had been no material change in the risk factors that could adversely affect its operations. These statements, however, took a different tone later in the year. On June 30, Coupang provided a privacy notice on its website, aimed at reassuring Korean customers by emphasizing the security measures in place to safeguard personal data.

Quotes from Coupang's Chief Information Security Officer, Brett Matthes, bolstered this narrative. He noted that the company had made considerable improvements in security, claiming capabilities to mitigate potential cyber threats effectively. Unfortunately, these assurances were called into question when, on November 29, 2025, Coupang announced unauthorized access to personal data affecting approximately 4,500 customer accounts. Further investigation revealed that about 33.7 million accounts were potentially exposed.

The Fallout

Following the revelation of this massive breach, which was confirmed in an interim report filed on December 16, 2025, Coupang acknowledged that they had been aware of the incident since November 18. This led to significant financial implications, including expected regulatory penalties, creating uncertainty about the company's fiscal health. Subsequently, Coupang announced a compensation plan exceeding 1.6 trillion won (over $1 billion) aimed at restoring customer trust.

The revelations surrounding this data incident have drastically impacted Coupang's market standing, leading to a staggering loss of over $8 billion in market capitalization since the November 30 announcement.

Hagens Berman is now actively investigating the alleged misstatements made by Coupang and has queried why it took the company weeks to inform stakeholders about such a critical data breach. Reed Kathrein, who heads the firm's inquiry into this case, emphasized the importance of corporate transparency and accountability in such situations.

Next Steps for Investors

For investors who purchased Coupang shares during the expanded class period and suffered financial setbacks, it's crucial to act promptly. They are encouraged to notify Hagens Berman and share information about their losses. Additionally, anyone possessing non-public information regarding Coupang may consider reporting it, as the SEC's Whistleblower program offers incentives for providing original information leading to recoveries.

Hagens Berman has established itself as a frontline advocate for corporate accountability and investor rights. With over $2.9 billion recovered for clients, the firm is committed to navigating the complexities of such cases and ensuring that the voices of investors are heard. For additional inquiries or to participate in the class action, investors should reach out to Hagens Berman directly through their website or by phone.

As these developments unfold, all eyes will be on Coupang, not just for its market performance but also for its approach to handling security vulnerabilities and investor relations moving forward.