EBON CLASS ACTION NOTICE: Glancy Prongay & Murray LLP Files Securities Fraud Lawsuit Against Ebang International Holdings, Inc.
THE ANGEL–(BUSINESS WIRE) – Glancy Prongay & Murray LLP (“GPM”) announces that it has filed a class action lawsuit in the US District Court for the Southern Borough of New York entitled Zaker v Ebang International Holdings Inc., et al. (Case # 1: 21-cv-03060) on behalf of any person or entity who purchased securities of Ebang International Holdings, Inc. (“Ebang” or the “Company”) (NASDAQ: EBON) between June 26, 2020 or otherwise earned and April 5, 2021 inclusive (the “Class Period”). Plaintiff is pursuing claims under Sections 10 (b) and 20 (a) of the Securities Exchange Act of 1934 (the “Exchange Act”).
Investors are hereby notified that they have 60 days after such notification to appoint the court as the lead plaintiff in this lawsuit.
If you have suffered a loss on your Ebang investments or would like to inquire about whether you may be able to make claims to recover your loss under federal securities laws, you can use your contact information at https://www.glancylaw.com/cases / ebang-international submit -holdings-inc /. You can also contact Charles H. Linehan of GPM at 310-201-9150, toll free at 888-773-9224, or by email at Shareholder@glancylaw.com or on our website at www.glancylaw.com for more information about your rights.
On April 6, 2021, before the market opened, Hindenburg Research released a report claiming, among other things, that Ebang poured the proceeds from its IPO into a “series of opaque deals with insiders and questionable counterparties.” According to the report, Ebang raised $ 21 million in November 2020, claiming the proceeds would be “mostly used for development.” Instead, the funds were used to repay related party loans to a relative of Ebang’s CEO, Dong Hu. The report also found that Ebang’s previous efforts to go public on the Hong Kong Stock Exchange had failed because of the media coverage of a sales inflation program with Yindou, a Chinese peer-to-peer online lending platform that raised 20,000 in 2018 Private investors were cheated, it was reported. with $ 655 million “disappear[ing] in thin air. ”
In that news, the company’s share price fell $ 0.82, or approximately 13%, to close at $ 5.53 per share on April 6, 2021 amid unusually high trading volume.
On April 6, 2021, after the market closed, Ebang made a statement stating that the report “contains[ed] Lots of errors, unsupported speculation and inaccurate interpretations of events, ”the Board of Directors, together with its Audit Committee, intends to further examine and examine the allegations and misinformation contained therein and will take all necessary and reasonable measures to protect the interests of its shareholders . ”
In that news, the company’s share price fell $ 0.12, or 2.17%, to close at $ 5.41 per share on April 7, 2021. The share price continued to drop $ 0.38, or 7%, during the next trading session, closing at $ 5.03 per share on April 8, 2021 amid unusually high trading volumes.
Throughout the teaching period, defendants made materially false and / or misleading statements and did not disclose material adverse facts about the company’s business, business, and prospects. Specifically, Defendants have failed to advise investors: (1) that the proceeds of Ebang’s public offerings were used in low-yielding long-term bonds to an subscriber and affiliates rather than used to develop the company’s business; (2) Ebang’s sales decreased and the company increased reported sales, including through the sale of defective units; (3) Ebang’s attempts to go public in Hong Kong had failed due to allegations of embezzlement of investor funds and excessive sales; (4) that Ebang’s alleged cryptocurrency exchange was merely the purchase of an out-of-the-box cryptocurrency exchange; and (5) that Defendants’ positive statements about the Company’s business, operations and prospects as a result of the foregoing were materially misleading and / or unfounded.
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If you purchased or otherwise acquired the Ebang Securities during the class period, you may move the court no later than 60 days after this notice and ask the court to appoint you as the lead plaintiff. You don’t need to take any action at this point to be a member of the class. You can keep an attorney of your choice or take no action and remain an absent member of the class. If you would like to learn more about this promotion, or have any questions about this announcement or your rights or interests in relation to these matters, please contact Charles Linehan, Esquire, of GPM, 1925 Century Park East, Suite 2100, Los Angeles California 90067 at 310-201-9150, toll free at 888-773-9224, email email@example.com, or visit our website at www.glancylaw.com. When inquiring by email, please include your postal address, telephone number and the number of shares purchased.
This press release may be viewed as a solicitor’s advertisement in some jurisdictions under applicable laws and ethical rules.