SAN FRANCISCO, Dec. 10, 2014 (GLOBE NEWSWIRE) -- Hagens Berman Sobol Shapiro LLP, a national investor-rights law firm, advises investors that a class action lawsuit has been filed against MOL Global, Inc. (Nasdaq:MOLG) ("MOLG" or "the Company"). The suit is pending in U.S. District Court for the Southern District of New York, and investors have until January 23, 2015 to move for lead plaintiff.
The complaint was filed on behalf of investors who purchased MOL Global securities between October 9, 2014 and November 20, 2014 (the "Class Period"). If you purchased shares of MOL during the Class Period, you may contact Hagens Berman Partner Reed Kathrein, who is leading the firm's investigation, by calling (510) 725-3000, emailing MOLG@hbsslaw.com or visiting http://hb-securities.com/investigations/MOLG. No class has been certified in this case. Any member of the Class who purchased shares in the relevant time period may ask the Court to appoint them as lead plaintiff.
Based in Malaysia, MOL provides e-payment solutions for online goods and services in Southeast Asia. The Complaint alleges that throughout the Class Period, Defendants made false and/or misleading statements and/or failed to disclose to investors that: (1) MOLG was overstating the revenue and profit derived from its business and operations; (2) the Company's actual business model could not sustain the growth trends described in the Offering Documents; (3) MOLG would not be able to report its third quarter 2014 financial results on November 21, 2014, as previously stated; and (4) as a result of the foregoing, MOLG's financial statements were materially false and misleading at all relevant times.
On October 3, 2014, MOLG filed its amended Registration Statement for the IPO, which became effective on October 8, 2014. Then, on November 20, 2014 after the market closed and barely 40 days after the Company's IPO, MOLG announced plans to delay its Third Quarter earnings release from November 21 to December 3.
As a result of MOLG's announcement, on November 21, 2014, just a day after issuing a "buy" recommendation, Deutsche Bank advised investor caution about shares in MOLG, describing MOL's sudden delay as "potentially ominous."
On this news, shares of MOLG declined $4.77 per share, or almost 54%, to close at $4.09 per share on November 21, 2014.
"It appears that MOLG may not have been ready to go public, and may have exaggerated their profitability, their stability, and their ability to properly report," said Hagens Berman partner Reed Kathrein. "The bottom line is that insiders benefited from this premature IPO at the expense of shareholders."
If you suffered a loss from your investment in MOLG stock purchased between October 9, 2014 and November 20, 2014, and would like to learn more about this lawsuit and your ability to participate as a lead plaintiff, please contact us for your no-cost evaluation. No class has yet been certified in the above action.
Whistleblowers: Persons with non-public information regarding MOLG should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. For more information, call Reed Kathrein at (510) 725-3000 or email MOLG@hbsslaw.com.
About Hagens Berman
Hagens Berman Sobol Shapiro LLP is an investor-rights class-action law firm headquartered in Seattle, Washington with offices in nine cities. The firm represents investors, whistleblowers, workers and consumers in complex litigation. More about the firm and its successes can be found at www.hbsslaw.com. Read the firm's Securities Newsletter at http://www.hb-securities.com/newsletter. The firm's blog is located at www.meaningfuldisclosure.com.
For the latest news from Hagens Berman, visit http://www.hbsslaw.com/newsroom or follow us on Twitter at @hagensberman.