NEW YORK, Oct. 04, 2016 (GLOBE NEWSWIRE) -- Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in MGT Capital Investments, Inc. (“MGT Capital” or the “Company”) (NYSE MKT:MGT) of the November 21, 2016 deadline to seek the role of lead plaintiff in a federal securities class action lawsuit filed against the Company and certain officers.
The lawsuit has been filed in the U.S. District Court for the Southern District of New York on behalf of all those who purchased MGT Capital stock or options between May 9, 2016, and September 20, 2016 (the “Class Period”). The case, Exley v. MGT Capital Investments, Inc. et al, No. 1:16-cv-07415 was filed on September 22, 2016, and has been assigned to Judge Naomi Reice Buchwald.
The lawsuit focuses on whether the Company and its executives violated federal securities laws by failing to disclose the conduct that led to a Securities and Exchange Commission (“SEC”) investigation.
Specifically, on September 19, 2016, the Company announced that it had received an SEC subpoena requesting “certain information” on September 15, 2016.
After the announcement, MGT Capital’s share price fell from $3.26 per share on September 18, 2016 to a closing price of $2.52 on September 19, 2016—a $0.74 or a 22.70% drop.
Then, on September 20, 2016, MGT Capital issued a press release entitled “MGT Provides Update on Status of D-Vasive Acquisition.” Therein, the Company disclosed that the New York Stock Exchange informed the Company on September 19, 2016, that the NYSE would not approve the listing of the 43.8 million shares that the Company was required to issue in order to complete the closing of its D-Vasive merger.
After the announcement, MGT Capital’s share price fell from $2.52 per share on September 19, 2016 to a closing price of $1.89 on September 20, 2016—a $0.63 or a 25% drop.
Request more information now by clicking here: www.faruqilaw.com/MGT . There is no cost or obligation to you.
Take Action
If you invested in MGT Capital stock or options May 9, 2016, and September 20, 2016 and would like to discuss your legal rights, visit www.faruqilaw.com/MGT . You can also contact us by calling Richard Gonnello toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to rgonnello@faruqilaw.com . Faruqi & Faruqi, LLP also encourages anyone with information regarding MGT Capital’s conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class that is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision of whether or not to serve as a lead plaintiff. Attorney Advertising. The law firm responsible for this advertisement is Faruqi & Faruqi, LLP (www.faruqilaw.com). Prior results do not guarantee or predict a similar outcome with respect to any future matter. We welcome the opportunity to discuss your particular case. All communications will be treated in a confidential manner.
FARUQI & FARUQI, LLP 685 Third Avenue, 26th Floor New York, NY 10017 Attn: Richard Gonnello, Esq. rgonnello@faruqilaw.com Telephone: (877) 247-4292 or (212) 983-9330
