NEW YORK, July 1, 2020 /PRNewswire/ -- Bragar Eagel & Squire, P.C., a nationally recognized shareholder rights law firm, is investigating potential claims against J2 Global, Inc. (NASDAQ: JCOM) on behalf of J2 Global stockholders. Our investigation concerns whether J2 Global has violated the federal securities laws and/or engaged in other unlawful business practices.
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On June 30, 2020, analyst Hindenburg Research issued a series of tweets and published a report regarding J2 Global, Inc. entitled "J2 Global: Troubling Related Party Transactions, Looming Impairments and a Suspicious History of Insider Enrichment Spanning Decades."
In its report, Hindenburg writes that "J2's opaque acquisition approach has opened the door to egregious insider self-enrichment, which we approximate totals $117 million to $172 million based on publicly available information." Hindenburg continued that J2 had recently committed $200 million of shareholder cash to a newly-formed investment vehicle run by its Chairman, who has a track record of venture investment failures. Hindenburg further stated that it found decades of intertwined financial interests between board members and executives, calling several of J2's directors' independence into question. Hindenburg also raised "tricky accounting," noting that J2 has never taken a goodwill impairment, yet the Company's subsidiaries have reported multiple material goodwill impairments that do not appear to coincide with J2's financials.
On this news, J2 Global's stock price fell over 9%, to close at $63.21 on June 30, 2020.
If you purchased or otherwise acquired J2 Global shares and suffered a loss, are a long-term stockholder, have information, 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 Melissa Fortunato or Marion Passmore by email at [email protected], or telephone at (212) 355-4648, or by filling out this contact form. There is no cost or obligation to you.
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