BOSTON, March 23, 2016 /PRNewswire/ -- Shares of Amaya Inc. ("Amaya" or the "Company") (NASDAQ: AYA) have dropped precipitously in early trading on March 23, 2016 on the news that its chief executive officer faces insider trading charges. Quebec's securities regulator Autorite des march financiers (the "AMF") announced that it has charged Amaya's CEO and founder, David Baazov and other key insiders with influencing the Company's stock price.
The revelations are the culmination of the largest insider trading investigation in Canada's history. The AMF has been working in conjunction with the Royal Canadian Mounted Police, Quebec Police, and U.S. regulators to determine why a large number of investors placed forward looking bets on Amaya's stock in advance of its $3.8 billion merger with industry stalwart PokerStars. Following the 2014 PokerStars acquisition, Amaya stock more than doubled. In addition to Baazov, Benjamin Ahdoot, a lifelong friend of Baazov and manager of the Company, and Yoel Altman were also charged. Baazov's older brother Josh Baazov was among 13 individuals served with cease trade orders by the AMF.
The AMF has stated that its investigation is ongoing and it may file additional charges. On news of the charges against Baazov, Amaya stock declined approximately 20%, resulting in a loss of market capitalization to shareholders of approximately $275 million.
Based on the recent announcements, Block & Leviton LLP (www.blockesq.com), a securities litigation firm representing investors nationwide, is investigating whether the Company and its officers and directors may have violated federal securities laws. Block & Leviton represents a number of the nation's largest institutional investors, has offices in Boston and the Bay Area and has recovered more than a billion dollars for its clients.
If you purchased or otherwise acquired Amaya securities on or before March 23, 2016, and have questions about your legal rights or possess information relevant to this investigation, please contact either attorney Steven Harte at (617) 398-5600 or email him at Steven@blockesq.com. Confidentiality to whistleblowers or others with relevant information is assured.
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BLOCK & LEVITON LLP
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Boston MA 02110
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SOURCE Block & Leviton LLP