SAN DIEGO, CA / ACCESSWIRE / September 20, 2019 / The Shareholders Foundation, Inc. announces that a lawsuit was filed for certain investors in Ruhnn Holding Limited (NASDAQ:RUHN) shares.
Investors, who purchased shares of Ruhnn Holding Limited (NASDAQ: RUHN), have certain options and should contact the Shareholders Foundation at [email protected] or call +1(858) 779 - 1554.
China based Ruhnn Holding Limited, together with its subsidiaries, operates key opinion leader cultivation and incubation platforms in the People's Republic of China. On or about April 3, 2019, Ruhnn sold 10 million shares of stock in its initial public stock offering (the "IPO"), at $12.50 a share raising $125,000,000 in new capital.
However, since the IPO, shares of Ruhnn Holding Limited (NASDAQ: RUHN) declined to as low as $3.06 per share on June 3, 2019.
The plaintiff alleges that the Registration Statement that was filed in connection with the IPO was negligently prepared and, as a result, contained untrue statements of material fact, omitted material facts necessary to make the statements contained therein not misleading, and failed to make adequate disclosures required under the rules and regulations governing the preparation of such documents.
More specifically, the plaintiff claims that the Registration Statement highlighted a dramatic growth in Ruhnn's net revenues derived from its full-service model, but failed to disclose that it had already shuttered almost 40% of its online stores in the fourth quarter of 2019, which ended March 31, 2019 and preceded the IPO.
Furthermore, the plaintiff alleges among other things that the Registration Statement failed to disclose that by the time of the IPO the Company's net revenues from its full service model had already declined 46% on a sequential basis to RMB186.9 million in the fourth quarter of 2019, which also represented an anemic 1.4% quarterly growth rate on a year-over-year basis.
Those, who purchased shares of Ruhnn Holding Limited (NASDAQ: RUHN), should contact the Shareholders Foundation, Inc.
CONTACT:
Shareholders Foundation, Inc.
Michael Daniels
+1 (858) 779-1554
[email protected]
3111 Camino Del Rio North
Suite 423
San Diego, CA 92108
The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and a settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. Any referenced cases, investigations, and/or settlements are not filed/initiated/reached and/or are not related to Shareholders Foundation. The information is only provided as a public service. It is not intended as legal advice and should not be relied upon.
SOURCE: Ruhnn Holding Limited