Robbins Umeda LLP Announces the Filing of a Class Action Suit Against GLG Life Tech Corporation
December 16 2011 - 2:46PM
Business Wire
Shareholder rights firm Robbins Umeda LLP, announces the filing
of a federal securities class action by an investor in the U.S.
District Court for the Southern District of New York on behalf of
purchasers of GLG Life Tech Corporation (NASDAQ: GLGL) shares
between February 1, 2011 and November 13, 2011 (the "Class
Period"). Concerned shareholders who would like more information
about their rights and potential remedies can contact attorney
Gregory E. Del Gaizo at (800) 350-6003, gdelgaizo@robbinsumeda.com,
or via the shareholder information form on the firm's website.
The complaint alleges that beginning on February 1, 2011,
certain officers and directors at GLG Life Tech issued a series of
positive statements to investors about the business condition,
future prospects, and true performance of the company that were
materially false and misleading, which were designed to
artificially inflate the value of the company. In particular, the
complaint alleges that officials at GLG Life Tech withheld material
adverse facts about: (1) the truth surrounding GLG Life Tech's
production issues; (2) the poor consumer response to the company's
signature All Natural Zero and Zero Calorie (AN0C) and stevia
product lines; and (3) that the company would not meet its earnings
projections.
On October 6, 2011, GLG Life Tech shocked the market by issuing
a press release containing a partial acknowledgement the company
was experiencing production, demand, and distributor issues that
were impacting its business. On this, news shares of GLG Life Tech
declined $1.47 per share, or 42% of their value, to close on the
day at just $1.99 per share. Then, on November 14, 2011, the
company announced disappointing financial results for the fiscal
quarter ending September 30, 2011. These results contained the
additional acknowledgement that, in response to ongoing production
and demand issues, GLG Life Tech "decided to temporarily
discontinue providing formal financial guidance in revenues, EBITDA
and capital expenditures."
Robbins Umeda LLP is a nationally recognized leader in
securities litigation and shareholder rights law. The firm
represents individual and institutional investors in shareholder
derivative and securities class action lawsuits, and has helped its
clients realize more than $1 billion of value for themselves and
the companies in which they have invested. For more information,
please go to http://www.robbinsumeda.com.
Press release link:
http://www.robbinsumeda.com/shareholders-rights-blog/glg-life-tech-corporation/
Attorney Advertising. Past results do not guarantee a similar
outcome.
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