The Law Offices of Frank R. Cruz Announces the Filing of a Securities Class Action on Behalf of Baozun Inc. Investors (BZUN)
17 January 2020 - 4:00AM
Business Wire
The Law Offices of Frank R. Cruz announces that a class action
lawsuit has been filed on behalf of investors that acquired Baozun
Inc. (“Baozun” or the “Company”) (NASDAQ: BZUN) American Depository
Receipts (“ADRs”) between March 6, 2019 and November 20,
2019, inclusive (the “Class Period”). Baozun investors have
until February 10, 2020 to file a lead plaintiff motion.
If you are a shareholder who suffered a loss, click here to
participate.
On November 21, 2019, Baozun announced third quarter 2019
financial results that were below market expectations, and provided
dismal fourth quarter 2019 financial guidance. The Company
attributed the negative results and outlook to adverse impacts from
terminating its service agreement with one electronics brand.
Baozun did not disclose who that large electronics brand was, but
some in the financial media have suggested that it was Huawei.
On this news, Baozun’s share price fell $7.60 per share, or more
than 17%, to close at $35.90 per share on November 21, 2019.
The complaint filed in this class action alleges that throughout
the Class Period, Defendants made materially false and/or
misleading statements, as well as failed to disclose material
adverse facts about the Company’s business, operations, and
prospects. Specifically, Defendants failed to disclose to
investors: (1) that Baozun was heavily reliant upon a single brand
partner, Huawei, for the exponential service fee growth it had been
reporting historically, which was in turn fueling its historical
revenue growth; (2) that, compared to other brands Baozun had as
brand partners, the Huawei work had historically included a lot of
additional add-on service fees, increasing the revenue reported
from Huawei vis-à-vis its other brand partners; (3) that Huawei,
like other large brands, was actively preparing to bring its online
merchandising in-house, meaning Baozun knew that it was losing a
significant brand partner; and (4) that, as a result of the
foregoing, the Company was not on track to achieve the financial
results and performance Defendants claimed the Company was on track
to achieve during the class period.
Follow us for updates on Twitter: twitter.com/FRC_LAW.
If you purchased Baozun securities during the Class Period, you
may move the Court no later than February 10, 2020 to ask
the Court to appoint you as lead plaintiff. To be a member of the
Class you need not take any action at this time; you may retain
counsel of your choice or take no action and remain an absent
member of the Class. If you purchased Baozun securities, have
information or 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 Frank R.
Cruz, of The Law Offices of Frank R. Cruz, 1999 Avenue of the
Stars, Suite 1100, Los Angeles, California 90067 at 310-914-5007,
by email to info@frankcruzlaw.com, or visit our website at
www.frankcruzlaw.com. If you inquire by email please include your
mailing address, telephone number, and number of shares
purchased.
This press release may be considered Attorney Advertising in
some jurisdictions under the applicable law and ethical rules.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20200116005247/en/
The Law Offices of Frank R. Cruz, Los Angeles Frank R. Cruz,
310-914-5007 fcruz@frankcruzlaw.com www.frankcruzlaw.com
Baozun (NASDAQ:BZUN)
Historical Stock Chart
From Apr 2024 to May 2024
Baozun (NASDAQ:BZUN)
Historical Stock Chart
From May 2023 to May 2024