Shareholder Alert: Bronstein, Gewirtz & Grossman, LLC Reminds Investors of Class Action against AirMedia Group, Inc. and Lead Plaintiff Deadline
Jun 29, 2015, 10:00 ET
NEW YORK, June 29, 2015 /PRNewswire/ -- Attorney Advertising-- Bronstein, Gewirtz & Grossman, LLC reminds investors that a securities class action has been filed in the United States District Court for the Southern District of New York on behalf of those who purchased shares of AirMedia Group, Inc. ("AirMedia" or the "Company") (NasdaqGS: AMCN), during the period between April 15, 2015 and June 15, 2015 inclusive. (the "Class Period").
The Lawsuit alleges that during the Class Period, Defendants made false and misleading statements regarding the purported sale of a 5% interest in AirMedia's advertising subsidiary, AirMedia Group Co., Ltd. ("AM Advertising"), to Shenzhen Liantronics Co. Ltd., and the valuation of the subsidiary negotiated in the deal. AirMedia's press release announcing the sale stated that the deal "reflected the total valuation of AM Advertising of RMB3 billion," or $500 million. The complaint further alleges that defendants made additional statements during the Class Period claiming that RMB3 billion/$500 million was a solid valuation of the AM Advertising subsidiary. As a result of defendants' false and misleading statements during the Class Period, AirMedia ADRs traded at artificially inflated prices, reaching a high price of $7.70 per ADR in intraday trading on June 15, 2015.
On June 15, 2015, the Company issued a press release announcing that it had entered into a definitive agreement to sell a 75% equity interest in AM Advertising to Beijing Longde Wenchuang Fund Management Co., Ltd. for RMB2.1 billion/$344.4 million, significantly less than the purported value the Company had claimed the subsidiary was worth during the Class Period.
No Class has yet been certified in the above action. If you wish to review a copy of the Complaint, to discuss this action, or have any questions, please contact Peretz Bronstein, Esq. or his Investor Relations Coordinator Eitan Kimelman of Bronstein, Gewirtz & Grossman, LLC at 212-697-6484 or via email [email protected]. Those who inquire by e-mail are encouraged to include their mailing address and telephone number. If you suffered a loss in AirMedia you have until August 24, 2015 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as a lead plaintiff.
Bronstein, Gewirtz & Grossman, LLC is a corporate litigation boutique. Our primary expertise is the aggressive pursuit of litigation claims on behalf of our clients. In addition to representing institutions and other investor plaintiffs in class action security litigation, the firm's expertise includes general corporate and commercial litigation, as well as securities arbitration. Attorney advertising. Prior results do not guarantee similar outcomes.
Bronstein, Gewirtz & Grossman, LLC
Peretz Bronstein or Eitan Kimelman 212-697-6484
SOURCE Bronstein, Gewirtz & Grossman, LLC
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