A lawsuit was filed on behalf of investors in Futu Holdings Limited (NASDAQ:FUTU) shares over alleged securities laws violations.
San Diego, CA -- (SBWIRE) -- 08/01/2023 -- An investor, who purchased shares of Futu Holdings Limited (NASDAQ: FUTU), filed a lawsuit over alleged violations of Federal Securities Laws by Futu Holdings Limited in connection with certain allegedly false and misleading statements.
Investors who purchased shares of Futu Holdings Limited (NASDAQ: FUTU) have certain options and for certain investors are short and strict deadlines running. Deadline: August 11, 2023. NASDAQ: FUTU investors should contact the Shareholders Foundation at firstname.lastname@example.org or call +1(858) 779 - 1554.
China based Futu Holdings Limited operates digitized brokerage and wealth management platform in Hong Kong, China, the United States, and internationally.
On March 7, 2020, Futu Holdings Limited sold 7,500,000 American Depository Shares ("ADSs") at $12.00 per ADS, raising over $90 million in its initial public offering ("IPO").
Then on March 17, 2020, Futu Holdings Limited disclosed that it had not accounted for its preferred shares in calculating its earnings per share, resulting in a substantial decrease in earnings per share.
Shares of Futu Holdings Limited (NASDAQ: FUTU) declined on March 23, 2020, to as low as $8.16 per share.
On May 16, 2023, Futu Holdings Limited announced the decision to remove "the Futubull app from app stores in Mainland China from May 19, 2023.
In response to the Chinese Securities and Regulatory Commission's (the "CSRC") rectification requirements on cross-border securities business, Futu will remove the Futubull app from app stores in Mainland China in order to bring its operations into full compliance with such regulatory principle."
Shares of Futu Holdings Limited (NASDAQ: FUTU) declined on May 30, 2023 to $35.91 per share.
According to the complaint the plaintiff alleges on behalf of purchasers of Futu Holdings Limited (NASDAQ: FUTU) common shares between April 27, 2020 and May 16, 2023, that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that between April 27, 2020 and May 16, 2023, the defendants made false and/or misleading statements and/or failed to disclose, among other things, that Futu Holdings Limited's business was, quite simply, illegal as it related to operations in China as a result of its failure to obtain the proper licenses, that it did not fully disclose to investors that it was engaging in unlawful activity and instead falsely characterized the applicable Chinese laws as ambiguous, that the foregoing subjected the Company to a heightened risk of regulatory enforcement, and that as a result, Defendants' statements about its business, operations, and prospects, were materially false and misleading and/or lacked a reasonable basis at all relevant times.
Those who purchased shares of Futu Holdings Limited (NASDAQ: FUTU) have certain options and should contact the Shareholders Foundation.
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About The Shareholders Foundation
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