INVESTOR ALERT: Kirby McInerney LLP Announces the Filing of a Securities Class Action Lawsuit Against Lizhi Inc.
NEW YORK–(BUSINESS WIRE) – Kirby McInerney LLP law firm announces that a class action lawsuit has been filed in the US District Court for the Eastern District of New York on behalf of those who acquired Lizhi Inc. (“Lizhi” or the “Company”). (NASDAQ: LIZI) Securities American Depositary Shares (“ADSs” or “Shares”) as of the Company’s initial public offering in January 2020 (“IPO” of the “Offering”) and / or traceable. Investors have until March 22, 2021 to apply to the court for appointment as the lead plaintiff in the lawsuit.
The lawsuit alleges that defendants have made materially false and / or misleading statements and have failed to disclose material adverse facts about the company’s business, business and prospects. Specifically, Defendants have failed to advise investors that: (1) at the time of going public, the coronavirus has already devastated China, its home base, main market and major center for Lizhi, its employees and its customers; (2) The complications associated with the coronavirus were already having a negative impact on Lizhi’s business as employees and customers became infected with the virus, lost their jobs or otherwise had difficulties generating the content that was critical for Lizhi’s platform publish and monetize. (3) Even before the IPO, Lizhi employees and customers complained about and at Lizhi, which affected the company’s reputation, financial situation and prospects. and (4) as a result, defendants’ statements about their business, operations and prospects were materially false and misleading and / or were unfounded at all relevant times.
On or about January 17, 2020, Lizhi went public and issued 4.1 million ADS at a price of $ 11.00 per ADS. On April 20, 2020, Lizhi admitted that the COVID-19 pandemic was already having a negative impact on business before the IPO “late 2019”. Since going public, Lizhi shares currently trade below $ 4 per share, or more than 60% below the IPO price.
If you have bought or otherwise acquired Lizhi securities, have information, or would like to learn more about these claims, please contact Thomas W. Elrod of Kirby McInerney LLP at 212-371-6600 by email at investigations @ kmllp. com or by filling out this contact form to discuss your rights or interests in relation to these matters at no cost to you.
Kirby McInerney LLP is a New York-based law firm focused on securities, antitrust, whistleblower and consumer litigation. The company’s efforts on behalf of shareholders in securities litigation have resulted in total recoveries of $ billion. For more information about the company, please visit the Kirby McInerney LLP website: http://www.kmllp.com.
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