Securities Class Action Filings February
Securities Class Action Filings
Filing Name | Filing Date | District Court | Exchange | Ticker |
|---|---|---|---|---|
| Under Armour, Inc. | 02/10/2017 | D.Maryland | NYSE | UA |
| FXCM Inc. | 02/07/2017 | S.D. New York | NASDAQ | FXCM |
| Kitov Pharmaceuticals Holdings Ltd.:ADR | 02/07/2017 | S.D. New York | NASDAQ | KTOV |
| Psychemedics Corporation | 02/03/2017 | D. Massachusetts | NASDAQ | PMD |
| Stemline Therapeutics, Inc. | 02/03/2017 | S.D. New York | NASDAQ | STML |
| DaVita Inc. | 02/01/2017 | D. Colorado | NYSE | DVA |
| Neustar Inc. | 02/01/2017 | D. Delaware | NYSE | NSR |
| Roadrunner Transportation Systems Inc. | 02/01/2017 | E.D. Wisconsin | NYSE | RRTS |
Case Summary
Under Armour, Inc. Securities Litigation
Case Status: ONGOING
On or around 02/10/2017 (Ongoing date of last review)
Filing Date: February 10, 2017
According to the law firm press release, the lawsuit alleges that, during the Class Period, Under Armour and certain of its officers made false and misleading statements and failed to disclose that Under Armour’s revenue and profit margins would not be able to withstand the heavy promotions, high inventory levels and ripple effects of numerous department store closures and the bankruptcy of one of its large retailers. Instead, Under Armour promoted itself as a growth company that would continue to develop and market game-changing products. Defendants’ false statements and/or omissions caused Under Armour common stock to trade at artificially inflated prices during the Class Period.
The fraud was revealed on January 31, 2017 when Under Armour released weaker-than-expected earnings for the fourth quarter of 2016, and the poor results were in fact tied to market factors, such as department store closings.
Case Summary
FXCM Inc. Securities Litigation
Case Status: ONGOING
On or around 02/08/2017 (Ongoing date of last review)
Filing Date: February 07, 2017
Case Summary
Kitov Pharmaceuticals Holdings Ltd. : American Depositary Receipts Securities Litigation
Case Status: ONGOING
On or around 02/08/2017 (Ongoing date of last review)
Filing Date: February 07, 2017
According to the law firm press release, Kitov is a clinical development stage biopharmaceutical company that develops combination drugs for the simultaneous treatment of pain caused by osteoarthritis and hypertension. The Company’s lead drug candidate is KIT-302, a fixed dosage combination product based on the generic drugs celecoxib and amlodipine besylate, that has completed its Phase III clinical study.
The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operational and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) the Company and its Chief Executive Officer (“CEO”) Isaac Israel published misleading information concerning the conduct of the Company’s clinical trials for its lead drug candidate KIT-302; and (ii) as a result of the foregoing, Kitov’s public statements were materially false and misleading at all relevant times.
Case Summary
Psychemedics Corporation Securities Litigation
Case Status: ONGOING
On or around 02/03/2017 (Ongoing date of last review)
Filing Date: February 03, 2017
According to the law firm press release, Psychemedics Corporation provides patented, FDA-cleared services for the detection of drug abuse through the analysis of hair samples. The Company’s tests provide quantitative information that can indicate the approximate amount of drug ingested, as well as historical data, which can show a pattern of individual drug use over a longer period of time.
The Complaint alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) through its affiliate Psychemedics Brasil Exames Toxicológicos Ltda. (“Psychemedics Brasil”), the Company engaged in anti-competitive conduct to maintain a monopoly over the Brazilian market in violation of the law; (ii) in turn, Psychemedics lacked effective internal controls over financial reporting; and (iii) as a result of the foregoing, Psychemedics’ public statements were materially false and misleading at all relevant times.
Case Summary
Stemline Therapeutics, Inc. Securities Litigation
Case Status: ONGOING
On or around 02/06/2017 (Ongoing date of last review)
Filing Date: February 03, 2017
Case Summary
DaVita Inc. Securities Litigation
Case Status: ONGOING
On or around 02/01/2017 (Ongoing date of last review)
Filing Date: February 01, 2017
According to the law firm press release, DaVita provides kidney dialysis services for patients suffering from chronic kidney failure or end-stage renal disease. The Company operates kidney dialysis centers and provides related lab services in outpatient dialysis centers, and provides acute inpatient dialysis services in approximately 900 hospitals and related laboratory services in the United States. DaVita made contributions to a purported charitable foundation called the American Kidney Fund (“AKF”), a group that provides financial assistance toward patients’ health insurance premiums.
The Complaint brings forth claims for violations of the Securities Exchange Act of 1934. The Complaint alleges that, throughout the Class Period, Defendants made false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects.
Specifically, the Complaint alleges that, throughout the Class Period, Defendants made false and/or misleading statements and/or failed to disclose that: (1) the Company and its senior executives purposefully steered patients into unnecessary insurance plans in order to maximize profits; (2) the Company was using AKF as a vehicle to facilitate these improper practices; (3) as a result, DaVita’s revenues and profits were illegally obtained; (4) in turn, DaVita lacked effective internal controls over financial reporting; and (5) as a result of the foregoing, Defendants’ statements about DaVita’s business, operations, and prospects were false and misleading and/or lacked a reasonable basis.
Case Summary
Neustar, Inc. Securities Litigation
Case Status: ONGOING
On or around 02/01/2017 (Ongoing date of last review)
Filing Date: February 01, 2017
According to the Complaint, On December 14, 2016, Neustar issued a press release announcing that it had entered into an Agreement and Plan of Merger (the “Merger Agreement”) to sell Neustar to Golden Gate. Under the terms of the Merger Agreement, Golden Gate will acquire all outstanding shares of Neustar for $33.50 in cash (the “Merger Consideration”).
On January 17, 2017, Neustar filed a Preliminary Proxy Statement on Schedule 14A (the “Proxy”) with the U.S. Securities and Exchange Commission (“SEC”). The Complaint alleges the Proxy, which recommends that Neustar stockholders vote in favor of the Proposed Transaction, omits or misrepresents material information concerning, among other things: (i) Neustar management’s projections, utilized by the Company’s financial advisor, J.P. Morgan Securities, LLC (“J.P. Morgan”), in its financial analyses; (ii) the valuation analyses performed by J.P. Morgan in connection with the rendering of its fairness opinion; and (iii) the background of the Proposed Transaction. The failure to adequately disclose such material information constitutes a violation of the above-referenced sections of the Exchange Act as stockholders need such information in order to cast a fully-informed vote in connection with the Proposed Transaction.
Case Summary
Roadrunner Transportation Systems Inc. Securities Litigation
Case Status: ONGOING
On or around 02/02/2017 (Ongoing date of last review)
Filing Date: February 01, 2017
According to the law firm press release, Roadrunner provides asset-light transportation and logistics services provider that purports to offer a comprehensive suite of global supply chain solutions, including truckload logistics, customized and expedited less-than-truckload, intermodal solutions, freight consolidation, inventory management, expedited services, air freight, international freight forwarding, customs brokerage, and transportation management solutions. Roadrunner utilizes a broad third-party network of transportation providers, comprised of independent contractors and purchased power providers, with a focus on mid-size shippers. At all relevant times Morgan Southern, Inc. (“Morgan Southern”) and Bruenger Trucking (“Bruenger”) were among the Company’s subsidiaries.
The Complaint alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) the Company’s Morgan Southern and Bruenger subsidiaries had engaged in improper accounting practices; (ii) Roadrunner lacked effective internal controls; (iii) as a result, Roadrunner overstated its earnings throughout the Class Period by tens of millions of dollars; and (iv) as a result of the foregoing, Roadrunner’s financial statements were materially false and misleading at all relevant times.
