Investor Reminder: Kessler Topaz Meltzer & Check, LLP Reminds Investors of Securities Fraud Class Action Lawsuit Filed Against Skillz Inc. – SKLZ |
RADNOR, Pa., May 15, 2021 / PRNewswire / – Kessler Topaz Meltzer & Check, LLP law firm announces that a class action lawsuit has been filed for securities fraud The United States District Court for the Northern District of California v Skillz Inc. (NYSE: SKLZ) (“Skillz”) f / k / a Flying Eagle Acquisition Corp. (“FEAC”) on behalf of those who have bought or acquired Skillz securities between December 16, 2020 and April 19, 2021including (the “Class Period”).
Investor Deadline Reminder: Investors who have bought or acquired Skillz Securities during the lesson period, not later than July 7, 2021try to be appointed as the plaintiff’s principal representative of the class. For more information or to learn how to participate in this litigation, please contact Kessler Topaz Meltzer & Check, LLP: James Maro, Esq. (484) 270-1453 or Adrienne Bell, Esq. (484) 270-1435; toll free at (844) 887-9500; per email to firstname.lastname@example.org; or click https://www.ktmc.com/skillz-class-action-lawsuit?utm_source=PR&utm_medium=link&utm_campaign=skillz
Skillz is an Internet technology company that provides a proprietary gaming platform for mobile game users and developers. FEAC was founded as a special purpose vehicle early on January 2020 managed and controlled by its sponsor, Eagle Equity Partners II, LLC, by the defendant, Harry Sloan, Member of the Skillz Board of Directors and past President and Chairman of FEAC. Within eight months, FEAC and Mr. Sloan had secured themselves $ 158 million for private placement obligations in connection with a business combination between FEAC and its target – Skillz. Upon conclusion of a definitive merger and subscription agreement on September 8, 2020FEAC, through its board of directors, submitted a declaration and prospectus to merge voting rights proxy on a registration form S-4.
The lesson begins on December 16, 2020when Skillz issued a press release that was attached to Skillz’s Form 8-K filed on Aug. 17th December 2020entitled “SKILLZ BECOMES FIRST PUBLICLY TRADED MOBILE ESPORTS PLATFORM.” Throughout the classroom, Skillz pointed out his business prospects.
However on March 8, 2021, a research report by Wolfpack Research entitled “SKLZ: It Takes Little Skill to See This SPACtacular Disaster Coming,” was published that described, among other things, how: (1) Third-party app data installs of the three responsible games show 88% of Skillz’s revenues (21 Blitz, Solitaire Cube, and Blackout Bingo) all decreased significantly; (2) Skillz did not disclose that the popularity of these three games has declined significantly (despite their significant role in the growth trajectory). (3) Skillz is not taken seriously by players in the game industry. (4) Skillz has a long history of “great partnerships” that were nothing of value. and (5) Andrew Paradise, Co-founder of Skillz and its chief executive officer, does not have the relevant experience expressed. Following the news, Skillz’s shares fell 10.9% to close $ 24.45. This revelation represented roughly $ 762 million Loss of investor value.
Then further April 19, 2021, an anonymous Twitter account called Eagle Eye Research, published a short-seller report. The report says: “[Skillz] never made a profit and we doubt it ever will. “The Eagle Eye Report claimed that Skillz was” collecting “revenue from” virtual “money that its customers were able to spend when it did not generate real money. Skillz’s shares fell 6.61% to trade at $ 12.55 on April 19, 2021lose about $ 254 million in investor value.
The complaint alleges that throughout the classroom the defendants spread false and misleading statements and omissions that materially misrepresented Skillz’s alleged financial situation and prospects. These materially misleading statements and omissions included representations relating to certain Skillz business operations, performance metrics and final ratings, including but not limited to Skillz’s ability to attract new end users, future profitability, and the declining popularity of the hosted games, which accounted for 88 % of his sales and Skillz ‘rating.
Skillz Investors can not later than July 7, 2021, attempt to be appointed as the class lead plaintiff by Kessler Topaz Meltzer & Check, LLP, or other attorney, or choose to do nothing and remain an absent class member. A lead plaintiff is a representative party who acts on behalf of all class members in directing the dispute. To be named lead plaintiff, the court must determine that the class member’s claim is typical of the claims of other class members and that the class member is adequately representing the class. Your ability to get involved in a recovery will not be affected by whether or not you will be the lead plaintiff.
Kessler Topaz Meltzer & Check, LLP, pursues class action lawsuits in state and federal courts across the country involving securities fraud, fiduciary violations, and other violations of federal and state law. Kessler Topaz Meltzer & Check, LLP, is a driving force behind corporate governance reform and has collected billions of dollars on behalf of institutional and individual investors The United States and all over the world. The company represents investors, consumers and whistleblowers (individuals who report fraudulent practices against the government and are involved in recovering government dollars). The complaint in this lawsuit was not filed by Kessler Topaz Meltzer & Check, LLP. For more information on Kessler Topaz Meltzer & Check, LLP, please visit www.ktmc.com.
Kessler Topaz Meltzer & Check, LLP
James Maro Jr., Esq.
Adrienne Bell, Esq.
280 Street of the King of Prussia
Radnor, PA 19087
(844) 887-9500 (toll free)
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