Join The Class Action Suit
Company: Yunji Inc.
Class Period: May 3, 2019 — November 21, 2019
Court: U.S.D.C. – Eastern District of New York
Kaskela Law LLC announces that a class action lawsuit has been filed against Yunji Inc. (“Yunji”) (NASDAQ: YJ) on behalf of investors who purchased or acquired the Company’s American Depository Shares (“Shares”) in connection with or following Yunji’s May 2019 initial public offering (“IPO”).
On or about May 3, 2019, Yunji completed its IPO of Shares, selling over 11.2 million Shares to investors at $11.00 per share.
The complaint alleges that in connection with the IPO the defendants failed to disclose to investors: (1) that the Company was shifting certain of its sales to its marketplace platform; (2) that this supply chain restructuring was likely to disrupt Yunji’s relationships with suppliers; (3) that this supply chain restructuring was likely to have an adverse impact on the Company’s financial results; and (4) that, as a result of the foregoing, defendants’ positive statements about the Company’s business, operations, and prospects, were materially misleading and/or lacked a reasonable basis.
The complaint further alleges that, on August 22, 2019, the Company disclosed to investors a supply chain restructuring that had shifted part of its merchandise sales to its marketplace platform, resulting in a year-over-year decrease in total revenues for second quarter 2019. Following this disclosure, the Company’s Shares declined $4.55 per Share, or nearly 43% in value, to close on August 27, 2019 at $6.05 per Share.
Investors who purchased or acquired Yunji’s Shares in connection with or following the Company’s May 2019 IPO may, no later than January 11, 2020, seek to be appointed as a lead plaintiff representative in the action.
Yunji investors are encouraged to contact Kaskela Law LLC (D. Seamus Kaskela, Esq.) at (888) 715 – 1740, or by completing the information form on this page, for additional information about this action and their legal rights and options.