BOSTON, May 25, 2021 (GLOBE NEWSWIRE) -- Block & Leviton LLP announces that a lawsuit for violations of the federal securities laws has been filed against Skillz Inc. (NYSE: SKLZ) and certain of its executives. Investors who have lost money should contact the firm to learn more about how they might recover those losses. For more details, visit https://www.blockleviton.com/cases/sklz. The deadline to move for appointment as lead plaintiff is July 7, 2021.
What is this all about?
Skillz provides a proprietary gaming platform for mobile gaming users and developers. Skillz connects players worldwide by hosting fee-based competitive eSports games on its platform. Skillz went public via Flying Eagle Acquisition Corp., a special purpose acquisition company (or SPAC) on December 16, 2020.
On March 8, 2021, analyst Wolfpack Research published a scathing report entitled “SKLZ: It Takes Little Skill to see this SPACtacular Disaster Coming.” In this report, Wolfpack alleged that Skillz and certain of its executives had lauded “entirely unrealistic” growth projections. Wolfpack further alleged that the three games Skillz relies on for approximately 88% of its revenue had begun to decline before Skillz went public. On this news, shares fell approximately 11%.
Then on April 19, 2021, analyst Eagle Eye Research posted an anonymous report on Twitter in which it asserted that through the use of providing users with incentive bonus payments, Skillz “likely recognized substantial non-cash revenue, and . . . cash revenue may be less than ½ of GAAP revenue.” On this news, Skillz shares fell another 6%.
Who is eligible?
Anyone who purchased Skillz shares between December 16, 2020 and April 19, 2021 and has now lost money may be eligible, whether or not they have sold their investment. Investors should contact Block & Leviton to learn more. The deadline to move the Court to be appointed lead plaintiff is July 7, 2021. A class has not yet been certified, and until a certification occurs, you are not represented by an attorney. If you choose to take no action, you can remain an absent class member.
What is Block & Leviton doing?
Block & Leviton is working to attempt to recover losses on behalf of investors who have lost money. A class action lawsuit has been filed in the U.S. District Court for the Northern District of California, Jedrzejczyk v. Skillz Inc., et al., No. 3:21-cv-03450 (N.D. Cal.).
What should you do next?
If you've lost money on your investment, you should contact Block & Leviton to learn more via our case website, by email at cases@blockleviton.com, or by phone at (617) 398-5600.
Why should you contact Block & Leviton?
Many law firms have issued releases about this matter; many of those firms do not actually litigate securities class actions. Block & Leviton is a law firm that actually litigates cases. We are dedicated to obtaining significant recoveries on behalf of defrauded investors through active litigation in the federal courts across the country. Many of the nation's top institutional investors hire us to represent their interests. You can learn more about us at our website, www.blockleviton.com, or call (617) 398-5600 or email cases@blockleviton.com with any questions.
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CONTACT:
BLOCK & LEVITON LLP
260 Franklin St., Suite 1860
Boston, MA 02110
Phone: (617) 398-5600
Email: cases@blockleviton.com
SOURCE: Block & Leviton LLP
www.blockleviton.com