BENSALEM, Pa.--(BUSINESS WIRE)--Law Offices of Howard G. Smith announces that a class action lawsuit has been filed on behalf of investors who purchased UP Fintech Holding Limited (“UP Fintech” or the “Company”) (NASDAQ: TIGR) (a) UP Fintech American Depository Shares (“ADSs”) pursuant and/or traceable to the Company’s initial public offering (“IPO”) conducted on or about March 20, 2019; or (b) UP Fintech securities between March 20, 2019 and May 16, 2019, inclusive (the “Class Period”). UP Fintech investors have until January 6, 2020 to file a lead plaintiff motion.
Investors suffering losses on their UP Fintech investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to howardsmith@howardsmithlaw.com.
In March, 2019, UP Fintech completed its IPO in which it sold over 14.95 million ADSs for $8.00 per share.
On May 17, 2019, the Company announced its first quarter 2019 financial results and disclosed a 4.1% decrease in commissions. Moreover, the Company revealed that its operating costs skyrocketed by over 36%, citing increases in expenses related to employee headcount, employee compensation, office space, and leasehold improvements.
On this news, the Company’s ADS price fell $1.21 per share , or over 17%, to close at $5.77 per share on May 17, 2019, thereby injuring investors. Since the IPO, UP Fintech ADSs have traded as low as $4.18 per share, or 48% below the IPO price.
The complaint filed in this class action alleges that Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) that before and/or at the time of the IPO, the Company was experiencing a material decrease in commissions because of a negative trend related to risk-averse investors in the market; (2) that the Company was unable to absorb costs associated with the rapid growth of its business and its status as a publicly listed company on a U.S. exchange; (3) that, as a result of the foregoing, the Company significantly increased its operating costs and expenses and net loss attributable to the Company; and (5) 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.
If you purchased UP Fintech securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to howardsmith@howardsmithlaw.com, or visit our website at www.howardsmithlaw.com.
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