Bragar Eagel & Squire, PC Reminds Investors Class Actions Have Been Filed … | New
NEW YORK, Aug. 11, 2021 (GLOBE NEWSWIRE) – Bragar Eagel & Squire, PC, a nationally recognized shareholder rights law firm, reminds investors that class actions have been filed on behalf of shareholders of Home Point Capital, Inc. (NASDAQ: HMPT), James River Holdings, Ltd. (NASDAQ: JRVR), Kanzhun Limited (NASDAQ: BZ) and BlueCity Holdings Limited (NASDAQ: BLCT). Shareholders have until the deadlines below to request the court to act as principal plaintiff. Additional information on each case can be found at the link provided.
Home Point Capital, Inc. (NASDAQ: HMPT)
Recourse period: January 29, 2021, IPO
Principal Applicant Deadline: August 20, 2021
On January 29, 2021, Home Point Capital went public, issuing 7.25 million common shares of Home Point Capital to the public at an offering price of $ 13.00 per share. The net proceeds of the offering were approximately $ 88 million.
On May 6, 2021, Home Point Capital issued a press release announcing Home Point Capital’s financial results for the first quarter of 2021. Among other results, Home Point Capital reported revenue of $ 324.2 million, missing consensus estimates of $ 41.72 million. On this news, Home Point Capital’s share price fell nearly 18%, closing at $ 7.70 per share.
According to the lawsuit, the defendants throughout the litigation period made false and / or misleading statements and / or failed to disclose that: (1) Home Point’s aggressive expansion of its partner brokers would dramatically increase expenses from Home Point; (2) the mortgage industry expected industry-wide selling profit margins to decline due to rising interest rates in 2021 and Home Point would be subject to the same competitive pressures; (3) as a result, Home Point overestimated its business and financial prospects; and (4) as a result, the Offer Documents were materially false and / or misleading and did not indicate the information to be included therein. When the real details entered the market, the lawsuit claims that investors have suffered damage.
For more information on the Home Point class action lawsuit, visit: https://bespc.com/cases/HMPT
James River Holdings, Ltd. (NASDAQ: JRVR)
Course period: August 1, 2019 to May 5, 2021
Principal applicant deadline: September 7, 2021
On October 8, 2019, after the market closed, James River announced that it had given notice of early termination of all issued policies to its largest client, Rasier LLC.
Following this news, the Company’s share price fell $ 11.06, or more than 23%, to close at $ 37.88 per share on October 9, 2019, hurting investors.
Then, on May 5, 2021, James River reported its financial results for the first quarter of 2021, reporting “$ 170.0 million of unfavorable development in the commercial automobile, primarily due to a previously canceled account that is pending. liquidation since 2019 ”. According to Bloomberg, the company announced that it was seeking to raise $ 175 million through a takeover bid, which was priced “the industry’s deepest discount ever.”
Following this news, the company’s stock price fell $ 12.27, or 26%, to close at $ 34.23 per share on May 6, 2021, further hurting investors.
The complaint filed alleges that throughout the Claim Period, the Defendants made materially false and / or misleading statements, as well as failed to disclose material adverse facts regarding the business, operations and prospects of the Company. . Specifically, the Defendants failed to disclose to investors that: (1) James River had not booked sufficiently for his Uber policies; (2) James River used an incorrect methodology to establish reserves that significantly underestimated the Company’s actual exposure to Uber claims; (3) as a result, James River was forced to increase its unfavorable reserves in subsequent quarters, even after the cancellation of Uber policies; and (4) accordingly, the Defendants’ statements regarding its business, operations and prospects were materially false and misleading and / or lacked reasonable basis at all relevant times.
For more information on the James River class action lawsuit, visit: https://bespc.com/cases/JRVR
Kanzhun Limited (NASDAQ: BZ)
Class period: June 11, 2021 to July 2, 2021
Principal applicant deadline: September 10, 2021
On July 5, 2021, Kanzhun announced that the Company is under review by the Cyberspace Administration of China (“CAC”) and that, during the review period, Kanzhun’s “BOSS Zhipin” app is being reviewed. required to suspend registration of new users in China. “
On this news, the company’s ADS price fell $ 5.79 per ADS, or 15%, to close at $ 30.52 per ADS on July 6, 2021, hurting investors.
The complaint filed in this class action alleges that throughout the class period, the defendants made materially false and / or misleading statements, and failed to disclose material adverse facts regarding the business, operations and prospects of the society. Specifically, the defendants failed to disclose to investors that: (1) Kanzhun would be subject to an imminent cybersecurity review by the China Cyberspace Administration (the “CAC”); (2) CAC would require Kanzhun to suspend registration of new users on its BOSS Zhipin app; (3) Kanzhun was to conduct a comprehensive review of cybersecurity risks; (4) Kanzhun needed to improve his cybersecurity awareness and technological capabilities; and (5) as a result, the Defendants’ positive statements regarding the business, operations and prospects of the Company were materially misleading and / or lacked reasonable basis at all material times.
For more information on the Kanzhun class action lawsuit, visit: https://bespc.com/cases/BZ
BlueCity Holdings Limited (NASDAQ: BLCT)
Recourse period: IPO on July 8, 2021
Principal applicant deadline: September 17, 2021
On December 2, 2020, BlueCity issues a press release announcing the financial and operating results for the third quarter and fiscal year 2020. The press release reports, among other results, that the cost of revenues for the Company has increased by 41.4% year-on-year, sales and marketing expenses were up 86.3% year-on-year, technology and development expenses were up 49.5% year-on-year, and General and administrative expenses were up 4,349% year-on-year.
On this news, BlueCity’s American Depositary Share (“ADS”) price fell $ 3.30 per ADS, or 22.84%, to close at $ 11.15 per ADS on December 2, 2020.
Then, on March 23, 2021, BlueCity issued a press release announcing its results for the fourth quarter of 2020. Among other results, BlueCity reported revenue of $ 42.7 million, missing $ 3.92 million. dollars consensus estimates. On this news, BlueCity’s ADS price fell $ 3.25 per ADS, or 26.71%, over the next two trading days, to close at $ 8.92 per ADS on March 24, 2021. .
The complaint alleges that the company’s offering documents were negligently prepared and, therefore, contained false statements of material fact or omitted other facts necessary to ensure that the statements made were not misleading. More specifically, the offer documents were false or misleading and / or did not reveal that: (1) the defendants had overestimated the business and financial prospects of BlueCity; (2) the Company was ill-equipped to absorb the costs of becoming a publicly traded company, including costs associated with IPO and growth; (3) due to the foregoing, the defendants had distorted the Company’s capacity for sustainable growth; and (4) as a result, the offer documents were materially false or misleading and / or did not indicate the information to be included therein.
For more information on the BlueCity class action lawsuit, visit: https://bespc.com/cases/BLCT
About Bragar Eagel & Squire, PC: Bragar Eagel & Squire, PC is a nationally recognized law firm with offices in New York City, California and South Carolina. The firm represents individual and institutional investors in commercial, securities, derivatives and other complex litigation in state and federal courts across the country. For more information about the company, please visit www.bespc.com. Lawyer advertising. Past results do not guarantee similar results.
Contact details: Bragar Eagel & Squire, PC Brandon Walker, Esq. Melissa Fortunato, Esq. Marion Passmore, Esq. (212) 355-4648 [email protected]