RM LAW, P.C. announces that a class action lawsuit has been filed on behalf of all persons or entities that purchased Longfin Corp. (NASDAQ: LFIN) (“Longfin” or the “Company”) securities between December 13, 2017 and April 2, 2018, inclusive (the “Class Period”).
Longfin shareholders may, no later than June 4, 2018, move the Court for appointment as a lead plaintiff of the Class. If you purchased shares of Longfin and would like to learn more about these claims or if you wish to discuss these matters and have any questions concerning this announcement or your rights, contact Richard A. Maniskas, Esquire toll-free at (844) 291-9299 or to sign up online, click here.
The complaint alleges that Longfin is a finance and technology company that specializes in structured trade finance solutions and physical commodities finance solutions.
According to the complaint, on March 26, 2018, Citron Research, a noted short seller, sent a tweet alerting investors that Longfin “is a pure stock scheme” and that an SEC enforcement action should not be far behind as “[f]ilings and press releases are riddled with inaccuracies and fraud.” Also, CNBC wrote the article “Shares of cryptocurrency play Longfin drop after short seller Citron calls it a ‘pure stock scheme.’” Following this news, shares of Longfin fell $11.82 per share, or 16.6%, to close at $59.28 per share on March 26, 2018.
Then, on March 27, 2018, CNBC published the article, “Longfin loses more than a third of its value after the controversial cryptocurrency stock is booted from the Russell 2000 index” which discussed Longfin’s removal from the Russell 2000. Following this news, shares of Longfin fell $25.57 per share, or over 43.1%, over two trading days to close at $33.71 per share on March 28, 2018.
Finally, on April 2, 2018, Longfin filed its annual report on Form 10-K for the year ended December 31, 2017 with the SEC (the “2017 10-K”). The 2017 10-K disclosed an SEC probe into documents related to the IPO and acquisition of Ziddu.com. Further on April 2, 2018, The Wall Street Journal published the article, “Up-and-Down IPO Longfin Is Facing an SEC Probe,” which discussed the SEC’s investigation into Longfin. Following this news, shares of Longfin fell $4.42 per share, or over 30.88%, to close at $9.89 per share on April 3, 2018.
If you are a member of the class, you may, no later than June 4, 2018, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member’s claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as “lead plaintiff.” Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain RM LAW, P.C. or other counsel of your choice, to serve as your counsel in this action.