Articles Posted in Class Action

Ballard Power SystemsPublicly available records indicate that a class action lawsuit has been filed on behalf of investors in Ballard Power Systems (NASDAQ: BLDP) in connection to alleged violations of securities laws by BLDP. Fitapelli Kurta is interested in speaking to investors who have complaints regarding investments made in Ballard Power Systems from September 30, 2016 until January 25, 2018.

The class action complaint specifically alleges that during the period in question, BLDP might have provided false and/or misleading material information, and/or failed to disclose adverse material information, namely: that the company made overstatements regarding the operations of Broad Ocean and Synergy, its partners based in China; that there are no bus lines operating in Yunfi and Sanshui; that no demonstration lines are running in Guangdong; that Ballard indicated Foshan produced more buses than it had; that of the buses Foshan produced, only eleven had licenses; and that consequently the company’s statements to the public during the relevant period were false and misleading. When Spruce Point Capital Management released a report on January 25, 2018 stating that Ballard made overstatements regarding Broad Ocean and Synergy JV—a report that also stated, among other things, “there are no demonstration lines operating in Guangdong and that no bus lines are in service in Sanshui or Yunfu,” contradicting the company’s statements—BLDP declined more than 13%, or $0.52/share, closing at $3.27/share on that day. The complaint alleges that when true facts came to light, investors suffered losses.

According to the company’s website, Ballard Power Systems is an energy company whose description whose vision is to be “the leading global provider of innovative clean energy solutions offering superior performance at a reduced operating cost.” Operating around the world, Ballard develops zero-emission fuel cells and related clean energy systems. The company trades on the Nasdaq exchange under the symbol BLDP.

Aerohive Networks

Publicly available records indicate that a class action lawsuit has been filed on behalf of investors in Aerohive Networks (NYSE: HIVE) in connection to alleged violations of securities laws by HIVE. Fitapelli Kurta is interested in speaking to investors who have complaints regarding investments made in Aerohive Networks from November 1, 2017 until January 16, 2018.

The class action complaint specifically alleges that during the period in question, HIVE might have provided false and/or misleading material information, and/or failed to disclose adverse material information, chiefly: that the company uncovered sales execution concerns at the end of Q3 2017; that as a result of these issues, the company overstated its sales guidance for Q4 2017; and that consequently the company’s statements to the public during the relevant period were false and misleading. When the company disclosed on January 16, 2018, that its expected revenue for Q4 2017 would only be $37 million, as opposed to the $40-42 million it had projected in November 2017, HIVE declined approximately 29%, closing at $4.07/share on the following day. The company announced in a February 8, 2018 conference call that the accurate financial forecasting was a “pretty serious execution problem” for Aerohive, and said further that it had used optimistic evaluations of deals-in-progress whose close dates it had failed to effectively predict. The complaint alleges that when these facts came to light, investors suffered losses.

According to the company’s website, Aerohive Networks is an enterprise cloud networking company. Its “solutions enable enterprises to leverage the power of mobility to increase productivity, engage customers and grow their business,” according to its website, and its proprietary mobility platform uses the cloud to deliver cost-effective, simple, intelligent networks for enterprise use. It trades on the New York Stock Exchange under the symbol HIVE.

Vodafone Group Public Company Publicly available records indicate that a class action lawsuit has been filed on behalf of investors in Vodafone Group Public Company (NASDAQGS: VOD) in connection to alleged violations of securities laws by VOD. Fitapelli Kurta is interested in speaking to investors who have complaints regarding investments made in Vodafone Group Public Company from February 1, 2015 until January 11, 2018.

The class action complaint specifically alleges that during the period in question, VOD might have provided false and/or misleading material information, and/or failed to disclose adverse material information, chiefly: that the company violated Australian laws when it allowed customers to buy prepaid phones without prior verification of their identities; and that consequently the company’s statements to the public were false and misleading during the relevant period. When the Australian Communications and Media Authority announced on January 10, 2018 that an investigation into Vodafone Australia found that the company “failed to verify the identity of at least 1,028 customers before activating their prepaid mobile services,” Vodafone ADRs declined from a 1/9/2018 closing price of $32.60 to a 1/11/2018 closing price of $31.44. The complaint alleges that when true facts emerged, investors suffered losses.

According to the company’s website, Vodafone Group Public Company is an international telecommunications company headquartered in London. It was founded in January 1985 and today serves more than 400 million customers, according to that description. It trades on the NASDAQ Global Select Market under the symbol VOD.

General Electric Company

Publicly available records indicate that a class action lawsuit has been filed on behalf of investors in General Electric Company (NYSE:GE) in connection to alleged violations of securities laws by GE. Fitapelli Kurta is interested in speaking to investors who have complaints regarding investments made in General Electric Company between February 26, 2013 and January 12, 2018.

The class action complaint specifically alleges that during the period in question, GE might have provided false and/or misleading material information, and/or failed to disclose adverse material information to the public, namely: the company failed to distribute adequate reserves regarding certain premium deficiencies and related risks connected to its legacy reinsurance business; that the aforementioned risks resulted in the company accumulating billions of dollars’ worth of impairment charges which were not reported; that the company’s value was overstated during this period; that there were more necessary impairments which had not been disclosed; and that consequently the company’s statements to the public during the relevant period were false and misleading. When the company’s then-CFO informed investors on July 21, 2017 that the company recently “had adverse claims experience in a portion of our long-term care portfolio and we will assess the adequacy of our premium returns,” GE declined 2.92%, or $0.78 in value, closing at $25.91 on that day.

When investors were informed, on October 20, 2017, that the company “recently observed elevated claims experience for a portion of the long-term care book at GE Capital’s legacy insurance business,” and had begun reviewing third quarter premium deficiency assumptions, GE declined approximately 6.28%, or $1.48, reaching a low of $22.10 on that day, though later comments by GE’s CEO led to a rise of $0.25. A few months later, on January 16, 2018, the company announced that the review and reserve testing for GE Capital’s runoff insurance portfolio “will result in an after-tax GAAP charge of $6.2 billion for the fourth quarter of 2017.” The company also informed investors that GE Capital anticipated making “statutory reserve contributions of ~$15 billion over seven years” and that it would suspend its dividend GE for an unspecified duration. After this news was announced, GE declined 7.62%, or $1.43, across two trading sessions, closing at $17.33 on the following day, January 17, 2018.

Xunlei Limited

Publicly available records indicate that a class action lawsuit has been filed on behalf of investors in Xunlei Limited (NYSE: XNET) in connection to alleged violations of securities laws by XNET. Fitapelli Kurta is interested in speaking to investors who have complaints regarding investments made in Xunlei Limited from October 10, 2017 until January 11, 2018.

The class action complaint specifically alleges that during the period in question, XNET might have provided false and/or misleading material information, and/or failed to disclose adverse material information, chiefly: that the company had participated in financial activities that were not lawful; that OneCoin, which the company had promoted as a cryptocoin based on a private blockchain, was an Initial coin offering in disguise; that the company was unlawfully promoting an Initial Miner Offering; and that consequently the company’s statements about its operations, business and prospects were false and misleading. The complaint alleges that when true details emerged, investors suffered losses.

According to the company’s website, Xunlei Limited is a “cloud-based acceleration technology” company headquartered in China. The company’s cloud platform provides users “with quick and easy access to digital media content through its core products and services, Xunlei Accelerator and the cloud acceleration subscription services.” It is also expanding into mobile device technology partially through “potentially pre-installed acceleration products in mobile phones.” It trades on the Nasdaq exchange under the symbol XNET.

Yelp, Inc.
Publicly available records indicate that a class action lawsuit has been filed on behalf of investors in Yelp, Inc. (NYSE: YELP) in connection to alleged violations of securities laws by YELP. Fitapelli Kurta is interested in speaking to investors who have complaints regarding investments made in Yelp, Inc. from February 10, 2017 until May 9, 2017.

The class action complaint specifically alleges that during the period in question, YELP might have provided false and/or misleading material information, and/or failed to disclose adverse material information, namely: that when the company transition to a cost-per-click model in FY2016, from its previous cost-per-thousand-impressions model, the move resulted in a group of local advertisers whose contracts would end at the beginning of FY2017; that the company experiences lower rates of retention with respect to new customers who joined after the transition to the new model, because these customers could not effectively compete with the company’s longer customers with more of a presence on the platform; and that because of these changes, the company was behind benchmarks with respect to its financial guidance. The complaint alleges that when true facts emerged, investors suffered losses.

According to the company’s website, Yelp, Inc. is a technology company that develops a platform for users to review local businesses and make online reservations. The company was founded in 2004, and reports that by the end of the third quarter of 2017, its users “have written more than 142 million reviews” on the platform. The company sells ads to local businesses. Users can also find local events on Yelp and communicate with other users. Yelp, Inc. trades on the New York Stock Exchange exchange under the symbol YELP.

Advanced Micro Devices

Publicly available records indicate that a class action lawsuit has been filed on behalf of investors in Advanced Micro Devices (NASDAQ: AMD) in connection to alleged violations of securities laws by AMD. Fitapelli Kurta is interested in speaking to investors who have complaints regarding investments made in Advanced Micro Devices from February 21, 2017 until January 11, 2018.

The class action complaint specifically alleges that during the period in question, AMD might have provided false and/or misleading material information, and/or failed to disclose adverse material information, namely: that the company’s chips contained a flaw that rendered them vulnerable to security risks such as hacking; and that consequently the company’s statements to the public during the relevant period were false and misleading. Though the company initially advised its investors, on January 3, 2018, of the “near zero risk” that its chips were susceptible to a known vulnerability, it disclosed on January 11, 2018 that this was in fact not the case. The complaint alleges that when true details emerged, investors suffered losses.

According to the company’s website, Advanced Micro Devices is a computing company headquartered in Santa Clara, California. AMD develops computer processors and similar products for international business and consumer markets. Its products include graphics processors, embedded processors, chipsets, and microprocessors. It is the world’s second-largest supplier of x86-based microprocessors and trades on the Nasdaq exchange under the symbol AMD.

Omega Healthcare Investors

Publicly available records indicate that a class action lawsuit has been filed on behalf of investors in Omega Healthcare Investors (NYSE:OHI) in connection to alleged violations of securities laws by OHI. Fitapelli Kurta is interested in speaking to investors who have complaints regarding investments made in Omega Healthcare Investors between February 8, 2017 and October 31, 2017.

The class action complaint specifically alleges that during the period in question, OHI might have provided false and/or misleading material information, and/or failed to disclose adverse material information to the public, chiefly: that certain of the company’s operators had declining financial and operating results; that consequently, these operators was suffering from liquidity issues that were affecting their capacity to pay rent on time; and that as a result of this, the company’s direct financing leases were suffering and the company was unable to collect some receivables. The complaint alleges that when these details came to light, investors suffered losses.

According to the company’s website, Omega Healthcare Investors is a “a triple-net, equity REIT… that supports the goals of Skilled Nursing Facility (SNF) and Assisted Living Facility (ALF) operators with financing and capital.” An REIT is a real estate investment trust, an investment entity that pools the combined funds from a group of investors to purchase real estate property or interests in such. The company provides capital through acquisitions and leasing, sale leasebacks, and reinvestment; it trades on the New York Stock Exchange under the symbol OHI.

Meridian Bioscience

Publicly available records indicate that a class action lawsuit has been filed on behalf of investors in Meridian Bioscience (NASDAQ:VIVO) in connection to alleged violations of securities laws by VIVO. Fitapelli Kurta is interested in hearing from investors who have complaints regarding investments made in Meridian Bioscience between March 25, 2016 and July 13, 2017.

The class action complaint specifically alleges that during the period in question, VIVO might have provided false and/or misleading material information, and/or failed to disclose adverse material information to the public, chiefly: that when Meridian announced its financial results for the first quarter of the 2017 fiscal year, on January 25, 2017, it revised the revenue guidance for FY2017 it had previously released, such that the new guidance was lower than the previous; the company also announced that its Board of Director had decreased VIVO’s annual indicated dividend rate. Josh Kraeutler, the company’s Chief Executive Officer, said the negative results for the first quarter were due to declining revenue in the company’s Meridian Americas diagnostic operations over all its major product classes, which he said were “due to customer buying patterns and general weakness overall.” When these details emerged, VIVO declined during trading on that day.

According to the company’s website, Meridian Bioscience is a biotechnology company that “provides best-in-class diagnostic products, reagents, education, and support to help you deliver answers.” The company “manufactures, markets and distributes” a variety of products including diagnostic test kits, biopharmaceutical enabling technologies, and reagents. The company states that its products help to simplify and speed along the diagnosis of conditions including C. difficile, H. Pylori, food-borne illnesses and infections of the respiratory system.

Cheetah MobilePublicly available records indicate that a class action lawsuit has been filed on behalf of investors in Cheetah Mobile (NYSE: CMOM) in connection to alleged violations of securities laws by CMOM. Fitapelli Kurta is interested in hearing from investors who have complaints regarding investments made in Cheetah Mobile between April 26, 2017 and October 25, 2017.

The class action complaint specifically alleges that during the period in question, CMOM might have provided false and/or misleading material information, and/or failed to disclose adverse material information to the public, namely: that the company uses accounts under its control to inflate the instances of gifting occurring on Live.me; that the company made overstatements regarding its revenue; and that consequently the company’s statements to the public during the relevant period were false and misleading. The research firm Prescience Point Research Group released a report on October 26, 2017 which listed, among other findings, that roughly 55% of the reported consolidated revenue claimed by the company was nonexistent, and that it used “fake” accounts to provide gifts to others, with Cheetah Mobile’s money, on Live.me. When this news was released, the complaint alleges, CMOM declined $0.37/share, or more than 4%, ultimately closing at $8.05/share on that day, causing harm to CMOM investors.

According to the company’s website, Cheetah Mobile is “a leading mobile internet company dedicated to making the world smarter.” Its mission is to provide apps of mobile users across the world and to connect users with “personalized content powered by artificial intelligence.” It was formed in 2010 when Kingsoft Security merged with Conew Image, and its products include Clean Master, Security Master, CM Launcher, Duba Anti-Virus and Cheetah Keyboard. The company is an investor in the artificial intelligence company OrionStar.

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