SAN FRANCISCO, June 16, 2016 (GLOBE NEWSWIRE) -- The following statement is being issued by Hagens Berman Sobol Shapiro LLP:
To: All persons or entities who purchased or otherwise acquired securities of CPI Card Group Inc. (“CPI” or the “Company") (NASDAQ:PMTS) pursuant and/or traceable to the Company’s October 8, 2015 initial public offering (“IPO”), including purchasers of common stock in the aftermarket.
You have until August 15, 2016 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn’t require that you serve as a lead plaintiff.
If you suffered a loss in CPI, contact Hagens Berman Sobol Shapiro LLP partner Reed Kathrein, who is leading the firm’s investigation by calling 510-725-3000, emailing PMTS@hbsslaw.com or visiting https://www.hbsslaw.com/cases/PMTS.
The litigation concerns the alleged actions of CPI and numerous other defendants in failing to disclose that the Company built up a massive backlog of inventory with its clients, which was reasonably likely to have a large material impact on the future profitability and success of the Company.
CPI issued its customers upwards of 100 million more credit and debit cards than needed in an attempt to boost their quarterly revenues. CPI failed to disclose in its IPO Registration Statement that the over-issuance of 100 million cards would decrease future demand for its products and have a material impact on CPI’s revenue.
“CPI’s executives appear to have falsely recognized revenue in an attempt to conceal the Company’s true earnings numbers – this should raise a red flag for CPI investors,” said Hagens Berman partner Reed Kathrein.
Whistleblowers: Persons with non-public information regarding CPI Card Group Inc. should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new SEC whistleblower program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at 510-725-3000 or email PMTS@hbsslaw.com
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