The Law Offices of Frank R. Cruz Reminds Investors of Looming Deadline in the Class Action Lawsuit Against Champignon Brands Inc. (SHRMF)
Frank R. Cruz law firm is reminding investors of the upcoming June 9, 2021 deadline to file a lead plaintiff in the class action on behalf of investors who have bought or otherwise acquired Champignon Brands Inc. (“Champignon” or the “Company”) have “) (OTC: SHRMF) securities between March 27, 2020 and February 17, 2021 inclusive (the” Class Period “).
If you are a shareholder who has suffered a loss, click here to participate.
On June 22, 2020, Champignon announced that the company “has been selected by the British Columbia Securities Commission (the” Commission “) for an ongoing disclosure review and” in connection with the review the Commission has issued a suspension of trading order has enacted the company’s securities pending the filing of company acquisition reports. “
As a result of this news, the company’s share price fell 24% and closed at $ 0.500 per share on June 22, 2020, causing harm to investors.
On September 15, 2020, the company issued a press release stating, among other things: “The Commission has issued a replacement order to cease trading pending the filing of a revised report on material changes related to the AltMed companies’ acquisition . “Champignon further stated that” the acquisition of AltMed should be treated as a reverse acquisition. “
As a result of this news, Champignon’s share price fell 5% and closed at $ 0.271 per share on September 16, 2020, causing harm to investors.
On February 17, 2021, Champignon announced that it would adjust its financial statements for the three- and six-month periods through March 31, 2020. Specifically, “the company has previously recognized intangible assets related to” certain acquisitions, and “management has determined that. .. the assets do not meet the definition of an intangible asset under international accounting standards and are therefore recorded as transaction costs in the company’s income statement. “Champignon also stated that” a shareholder and contractual advisor (the ‘advisor’) to the Company was a related party in relation to these acquisitions.
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As a result of this news, Champignon’s share price fell 10% and closed at $ 0.687 per share on February 17, 2021, causing further harm to investors.
The lawsuit filed alleges that, during the class action period, defendants made materially false and / or misleading statements and failed to disclose material adverse facts about the company’s business, operations and prospects. In particular, defendants have failed to disclose to investors that: (1) mushroom had undisclosed material weaknesses and inadequate financial controls; (2) Champignon’s previously published financial reports were inaccurate and unreliable; (3) The previously published annual financial statements of Champignon would have to be adjusted; (4) An undisclosed related party was involved in the Champignon acquisitions; (5) As a result of the foregoing and subsequent reporting delays and issues, the British Columbia Securities Commission would suspend Champignon’s shares from trading; (6) As a result, Defendants’ statements about their businesses, operations and prospects were materially false and misleading and / or were unfounded at all relevant times.
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If you have purchased or otherwise acquired Champignon securities during the class action period, you may motion to the court no later than June 9, 2021 to seek appointment as the lead plaintiff in this alleged class action. To become a member of the class action, you do not need to take any action at this point; You can hire a lawyer of your choice or you can take no action and remain an absent member of the class action. If you would like to learn more about this class action or have any questions about this announcement or your rights or interests in relation to the pending class action, please contact Frank R. Cruz of The Law Offices of Frank R. Cruz, 1999 Avenue of the Stars , Suite 1100, Los Angeles, California 90067, 310-914-5007, by email at firstname.lastname@example.org or visit our website at www.frankcruzlaw.com. For inquiries by email, please include your postal address, telephone number and the number of shares purchased.
This press release may be viewed as a solicitation in some jurisdictions subject to applicable laws and ethical rules.
View source version on businesswire.com: https://www.businesswire.com/news/home/2021060705288/en/
The Frank R. Cruz Law Firms, Los Angeles
Frank R. Cruz, 310-914-5007