NEW YORK, Sept. 23, 2016 (GLOBE NEWSWIRE) -- Gainey McKenna & Egleston announces that a class action lawsuit has been filed against MGT Capital Investments, Inc. (“MGT” or the “Company”) (NYSE:MGT) in the United States District Court for the Southern District of New York on behalf of purchasers of common stock of MGT between May 9, 2016 and September 20, 2016, inclusive (the “Class Period”), seeking to pursue remedies under the Securities Exchange Act of 1934 (the “Exchange Act”).
According to the Complaint, Defendants made materially false and/or misleading statements and/or failed to disclose that: (1) the Company was engaging in and/or had engaged in conduct that would result in an SEC investigation; (2) the SEC investigation and the underlying conduct would cause the New York Stock Exchange to refuse to list the Company’s 43.8 million shares required for the D-Vasive merger; and (3) as such, the D-Vasive merger would likely not be completed. On September 19, 2016, MGT announced that it had received a subpoena from the SEC requesting information from the Company. In addition, the Company announced that the NYSE has refused to list the shares required to close MGT’s acquisition of D-Vasive Inc. Following this news, shares of MGT fell from a close of $2.52 the previous day to a close of $1.89 per share on September 20, 2016.
If you wish to serve as lead plaintiff, you must move the Court no later than November 21, 2016. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. If you wish to join the litigation, or to discuss your rights or interests regarding this class action, please contact Thomas J. McKenna, Esq. or Gregory M. Egleston, Esq. of Gainey McKenna & Egleston at (212) 983-1300, or via e-mail at tjmckenna@gme-law.com or gegleston@gme-law.com.
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