Uni-Pixel, Inc. Sued by Investor
SAN DIEGO and THE WOODLANDS, Texas, June 11, 2013 /PRNewswire/ -- Shareholder rights attorneys at Robbins Arroyo LLP announce that a purchaser of Uni-Pixel, Inc. (NASDAQ: UNXL) securities has filed a complaint in the U.S. District Court for the Southern District of New York. The complaint alleges that Uni-Pixel and certain of its officers and directors violated the Securities Exchange Act of 1934 between December 7, 2012 and May 31, 2013 (the "Class Period"). Uni-Pixel produces fingerprint resistant and hard coat protective cover films for various touch enabled devices.
Uni-Pixel Is Accused of Making False and Misleading Statements Regarding the Significance of Its Licensing and Manufacturing Agreements
The complaint alleges that during the Class Period, Uni-Pixel issued a series of materially false and misleading statements concerning the true nature of the company's business success and future business prospects. Specifically, the complaint alleges that the company artificially inflated the company's stock price by repeatedly touting a December 2012 licensing agreement with a "Major PC Maker," an April 2013 licensing agreement with a "Major Ecosystem Partner," and an April 2013 manufacture and supply agreement with Eastman Kodak. According to the complaint, those statements were false and misleading because the company failed to disclose that the respective agreements were either immaterial or legally unenforceable and that the company's projected sales and earnings were unobtainable. As a result of these false and misleading statements, Uni-Pixel's stock traded at artificially inflated prices during the Class Period, reaching a high of $41.42 per share on April 17, 2013, during which time company insiders sold more than $5 million of their company stock at inflated prices.
Uni-Pixel Stock Price Falls Dramatically on the Announcement of Product Delays and Quality Concerns
On May 20, 2013, Uni-Pixel announced that the "Major PC Maker" licensing its products reported production delays in its products utilizing Uni-Pixel's technology. As a result, those products utilizing the Uni-Pixel's technology would not reach the market in the third quarter 2013 as anticipated. On this news, the company's stock price dropped approximately 9.5% to close at $23.47 per share on May 21, 2013. Then, on May 31, 2013, Seeking Alpha released a highly detailed report raising significant quality concerns with the company's key product. On this news, the company's stock price dropped an additional 23%, or $4.57 per share, to close at $15.21 per share.
If you invested in Uni-Pixel and would like to discuss your shareholder rights, please contact attorney Darnell R. Donahue at (800) 350-6003, email@example.com, or via the shareholder information form on the firm's website
Robbins Arroyo 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.robbinsarroyo.com.
Press release link: http://www.robbinsarroyo.com/shareholders-rights-blog/uni-pixel-inc/
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SOURCE Robbins Arroyo LLP