iLearningEngines announces delay in release of Q3 financial results

iLearningEngines (AILE) announced a delay in the release of its third-quarter 2024 financial results. As previously announced, a Special Committee of the Board of the Directors has been formed to conduct an independent investigation into assertions contained in a recent short seller report.While the Investigation is ongoing, based on preliminary information identified by the Audit Committee of the Board of Directors during the course of the Investigation, that is subject to change with the completion of the Investigation, the audited consolidated financial statements of iLearningEngines Holdings, a wholly owned subsidiary of the Company as of December 31, 2023 and 2022 and for each of the three years in the period ended December 31, 2023, which were reported in the Current Report on Form 8-K filed by the Company on April 22, 2024, the audited consolidated financial statements of Holdings, as of December 31, 2022 and 2021 and for each of the three years in the period ended December 31, 2022, which were reported in the registration statement on Form S-4 initially filed by the Company with the U.S. Securities and Exchange Commission on September 5, 2023 and declared effective on February 2, 2024, in connection with the Company’s business combination, the Company’s unaudited financial statements for the quarter ended June 30, 2024, Holdings’ unaudited financial statements for the quarter ended March 31, 2024, which were reported in the Super 8-K, and Holdings’ unaudited financial statements for the quarters ended June 30, 2022, September 30, 2022, June 30, 2023 and September 30, 2023, which were reported in the S-4, as previously filed with the SEC, should no longer be relied upon. At this time, the Company is unable to determine whether it must correct financial statements for the Non-Reliance Period, or if such corrections are necessary, the quantification of such corrections. If the Investigation concludes that financial statements in the Non-Reliance Period must be restated, the Company intends to diligently pursue completion and filing of such restated financial statements as soon as reasonably practicable. In addition, the Company is working diligently towards the goal of being in a position to file third-quarter 2024 financial results with the SEC as soon as practicable after the conclusion of the Investigation, but at this time cannot predict with certainty when the preparation and filing of information will be completed. The Company will release additional information concerning the Investigation in due course and is committed to taking appropriate measures to improve its internal controls.