LOS ANGELES, Aug. 25, 2017 /PRNewswire/ -- Lundin Law PC, a shareholder rights firm, announces the filing of a class action lawsuit against ZTO Express (Cayman) Inc. ("ZTO" or the "Company") ( NYSE: ZTO) concerning possible violations of federal securities laws pursuant and traceable to its initial public offering on October 27, 2016 (the "IPO"). Investors who purchased or otherwise acquired shares during the Class Period should contact the firm prior to the October 16, 2017 lead plaintiff motion deadline.
To participate in this class action lawsuit, click here.
You can also call Brian Lundin, Esq., of Lundin Law PC, at 888-713-1033, or you can e-mail him at [email protected].
No class has been certified in the above action yet. Until a class is certified, you are not considered represented by an attorney. You may also choose to do nothing and be an absent class member.
According to the Complaint, the Registration Statement and Prospectus issued in connection with the IPO contained materially false and misleading information, and/or failed to disclose material information, to investors. At the time of the IPO, ZTO improperly inflated its stated profit margins by keeping certain low-margin segments of its business out of its financial statements. The Company failed to disclose that it used a system of "network partners" to handle lower-margin pickup and delivery services, while maintaining ownership of core hub operations. The Company was able to exaggerate its profit margins to investors by keeping the "network partners" businesses off its own books. Since the IPO, shares of ZTO have dropped in value materially, which caused investors harm according to the Complaint.
Lundin Law PC was founded by Brian Lundin, Esq., a securities litigator based in Los Angeles dedicated to upholding shareholders' rights.
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SOURCE Lundin Law PC