SAN FRANCISCO, Nov 21, 2020 (GLOBE NEWSWIRE) – Hagens Berman calls on JOYY Inc. ((N.ASDAQ:: YY) Investors with losses in excess of $ 250,000 can now file their losses. A class action lawsuit for securities fraud has been filed and certain investors may have valuable claims.
great Period: April 28, 2016 – November 18, 2020
Deadline of the main plaintiff: January 19, 2021
Contact an attorney now:: JOYY@hbsslaw.com
JOYY Inc. (YY) Securities Fraud class action lawsuit::
The complaint alleges that the defendants misrepresented and withheld: (1) JOYY dramatically overestimated its live streaming source income; (2) The majority of users at any given time were bots. (3) The company used these bots to run a round-trip program that gave the false impression of revenue. (4) the company has overestimated its cash reserves; and (5) the company's recent acquisition of Bigo largely benefited corporate insiders, including JOYY Co-Founder, CEO and Chairman David Xueling Li, who founded Bigo.
Investors began to learn the truth on November 18, 2020 when research firm Muddy Waters Capital released a damning forensic report: “YY: You can't make this up. Well … actually you can. "Muddy Waters accused JOYY of (1) being a multi-billion dollar fraud, (2) massively overestimating reported revenue through inappropriate roundtripping transactions, and (3) offing revenue Massively overestimating Bigo and Bigo's valuation in order to secretly enrich Li at JOYY paid over 1.4 billion US dollars in March 2019 for the remaining 68.5% of Bigo that JOYY did not yet own.
This news caused the price of JOYY American Depositary Shares to fall on November 18, 2020.
"We are focusing on investor losses and are proving that JOYY has deceived investors about the company's actual operating and financial results," said Reed Kathrein, the Hagens Berman partner who led the investigation.
If you are a JOYY investor and experience significant losses or have knowledge that may aid the company's investigation, click here to discuss your statutory rights with Hagens Berman.
Whistleblower: Individuals with non-public information about JOYY should review their options to help with the investigation or to use the SEC's whistleblower program. Under the new program, whistleblowers who provide original information can receive rewards of up to 30 percent for each successful SEC recovery. Further information is available from Reed Kathrein at 844– –916– –0895 or send an email to JOYY@hbsslaw.com.
About Hagens Berman
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Reed Kathrein, 844-916-0895