Latest news with #securitieslaws
Associated Press
8 hours ago
- Business
- Associated Press
SATS INVESTIGATION ALERT: Robbins Geller Rudman & Dowd LLP Launches Investigation into EchoStar Corporation and Encourages Investors with Substantial Losses or Witnesses with Relevant Information to Contact Law Firm
SAN DIEGO--(BUSINESS WIRE)--Jun 5, 2025-- The law firm of Robbins Geller Rudman & Dowd LLP is investigating potential violations of U.S. federal securities laws involving EchoStar Corporation (NASDAQ: SATS) focused on whether EchoStar and certain of its top executives made false and/or misleading statements and/or failed to disclose material information to investors. If you have information that could assist in the EchoStar investigation or if you are an EchoStar investor who suffered a loss and would like to learn more, you can provide your information here: You can also contact attorneysJ.C. SanchezorJennifer N. Caringalof Robbins Geller by calling 800/449-4900 or via e-mail at[email protected]. THE COMPANY: EchoStar, together with its subsidiaries, provides networking technologies and services. THE REVELATIONS: On May 12, 2025, The Wall Street Journal published an article entitled 'FCC Threatens Charlie Ergen's Hold on Satellite, 5G Spectrum Licenses,' reporting that '[t]he Federal Communications Commission told Ergen, the chairman and co-founder of network operator EchoStar, that the agency's staff would investigate the company's compliance with federal requirements to build a nationwide 5G network.' Following this news, the price of EchoStar stock fell more than 16%. Then, on May 30, 2025, EchoStar disclosed that it had 'elected not to make an approximately $326 million cash interest payment due on May 30, 2025' in order 'to allow time for the FCC to provide the relief requested in our Response prior to the expiration of the 30-day grace period, so that we may confidently continue investing in our network buildout and expansion of our Boost business and [mobile-satellite service].' Following this news, the price of EchoStar stock fell an additional 12%. And on June 2, 2025, EchoStar similarly revealed that '[i]n light of the uncertainty raised by the Federal Communications Commission ('FCC') review disclosed . . ., EchoStar . . . has elected not to make approximately $183 million in cash interest payments due on June 2, 2025' in order 'to allow time for the FCC to provide the relief requested in our FCC filing prior to the expiration of the 30-day grace period.' Following this news, the price of EchoStar stock fell more than 11%. ABOUT ROBBINS GELLER: Robbins Geller Rudman & Dowd LLP is one of the world's leading law firms representing investors in securities fraud and shareholder litigation. Our Firm has been ranked #1 in the ISS Securities Class Action Services rankings for four out of the last five years for securing the most monetary relief for investors. In 2024, we recovered over $2.5 billion for investors in securities-related class action cases – more than the next five law firms combined, according to ISS. With 200 lawyers in 10 offices, Robbins Geller is one of the largest plaintiffs' firms in the world, and the Firm's attorneys have obtained many of the largest securities class action recoveries in history, including the largest ever – $7.2 billion – in In re Enron Corp. Sec. Litig. Please visit the following page for more information: Past results do not guarantee future outcomes. Services may be performed by attorneys in any of our offices. View source version on CONTACT: Robbins Geller Rudman & Dowd LLP J.C. Sanchez, Jennifer N. Caringal 655 W. Broadway, Suite 1900, San Diego, CA 92101 800-449-4900 [email protected] KEYWORD: CALIFORNIA UNITED STATES NORTH AMERICA INDUSTRY KEYWORD: CLASS ACTION LAWSUIT PROFESSIONAL SERVICES LEGAL SOURCE: Robbins Geller Rudman & Dowd LLP Copyright Business Wire 2025. PUB: 06/05/2025 07:15 AM/DISC: 06/05/2025 07:15 AM
Associated Press
3 days ago
- Business
- Associated Press
Pomerantz Law Firm Announces the Filing of a Class Action Against BigBear.ai Holdings, Inc. and Certain Officers
NEW YORK, June 02, 2025 (GLOBE NEWSWIRE) -- Pomerantz LLP announces that a class action lawsuit has been filed against Holdings, Inc. ('BigBear' or the 'Company') (NYSE: BBAI) and certain officers. The class action, filed in the United States District Court for the Eastern District of Virginia , and docketed under 25-cv-00623, is on behalf of a class consisting of all persons and entities other than Defendants that purchased or otherwise acquired BigBear securities between March 31, 2022 and March 25, 2025, both dates inclusive (the 'Class Period'), seeking to recover damages caused by Defendants' violations of the federal securities laws and to pursue remedies under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 (the 'Exchange Act') and Rule 10b-5 promulgated thereunder, against the Company and certain of its top officials. If you are an investor who purchased or otherwise acquired BigBear securities during the Class Period, you have until June 10, 2025 to ask the Court to appoint you as Lead Plaintiff for the class. A copy of the Complaint can be obtained at To discuss this action, contact Danielle Peyton at [email protected] or 646-581-9980 (or 888.4-POMLAW), toll-free, Ext. 7980. Those who inquire by e-mail are encouraged to include their mailing address, telephone number, and the number of shares purchased. [Click here for information about joining the class action] BigBear is an artificial intelligence - driven technology solutions company. The Company purportedly offers national security, supply chain management, and digital identity and biometrics solutions. In June 2021, Holdings entered into a merger agreement (the 'Merger Agreement') with GigCapital4, Inc. ('GigCapital4'), a special purpose acquisition company, GigCapital4 Merger Sub Corporation ('Merger Sub'), and BBAI Ultimate Holdings. Pursuant to the Merger Agreement, Merger Sub first merged with and into Holdings, with Holdings being the surviving entity in the merger (the 'First Merger'). Then, immediately following the First Merger, Holdings merged with and into GigCapital4, with GigCapital4 being the surviving entity in the merger (the 'Second Merger,' and together with the First Merger, the 'Mergers,' and together with the other transactions contemplated by the Merger Agreement, the 'Business Combination'). On December 7, 2021, the Mergers were consummated and GigCapital4, Inc. was renamed as Holdings, Inc. Upon completion of the Business Combination, BigBear issued $200 million of unsecured convertible notes—debt instruments that can be converted into equity at a future date—due to mature on December 15, 2026 (the '2026 Convertible Notes' or '2026 Notes'). The 2026 Convertible Notes bear interest at a rate of 6.0% per annum, payable semi-annually, and not including any interest payments that are settled with the issuance of shares, and were convertible into 17,391,304 shares of the Company's common stock at an initial Conversion Price of $11.50. Convertible notes are often classified as long-term debt and as such, consistent with generally accepted accounting principles ('GAAP'), they must be accounted for in a company's quarterly and annual reports as liabilities until they reach maturity, at which point they either convert to equity or are repaid as principal and interest. BigBear uses the Financial Accounting Standards Board's Accounting Standards Codification ('ASC')—the single source of United States ('U.S') GAAP—to account 'for all transactions and events in which it obtains control over one or more other businesses (even if less than 100% ownership is acquired), to recognize the fair value of all assets and liabilities assumed and to establish the acquisition date fair value as of the measurement date.' Accordingly, because the Business Combination qualified as such a transaction, BigBear was required to account for it, and its issuance of the 2026 Convertible Notes therewith, in accordance with the ASC. Under ASC 815-15, an entity is required to bifurcate and separately account for a feature or derivative embedded within a host contract (such as the conversion option within the 2026 Convertible Notes) if: (1) the economic characteristics and risks of the embedded derivative are not clearly and closely related to the economic characteristics of the host contract; (2) the hybrid instrument is not remeasured at fair value under otherwise applicable GAAP with changes in fair value reported in earnings as they occur; and (3) a separate freestanding instrument with the same terms as the embedded derivative would meet the definition of a derivative and would not qualify for a 'derivative scope exception.' An embedded derivative may qualify for a scope exception if, for example, it meets the requirements of ASC 815-40, which covers contracts issued or held by an entity that are both indexed to its own stock and classified in stockholders' equity in its statement of financial position. If an embedded feature qualifies for a derivative scope exception, the entity does not separate it from the host contract and the entity accounts for the entire instrument (assuming no other embedded features require bifurcation) in accordance with other U.S. GAAP. Therefore, whether BigBear was required to bifurcate the conversion option within the 2026 Convertible Notes as a derivative was dependent, in part, upon the conversion option's qualification for a derivative scope exception. The complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements regarding the Company's business, operations, and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) BigBear maintained deficient accounting review policies related to the reporting and disclosure of certain non-routine, unusual, or complex transactions; (ii) as a result, the Company incorrectly determined that the conversion option within the 2026 Convertible Notes qualified for the derivative scope exception under ASC 815-40 and failed to bifurcate the conversion option as required by ASC 815-15; (iii) accordingly, BigBear had improperly accounted for the 2026 Convertible Notes; (iv) the foregoing error caused BigBear to misstate various items in several of the Company's previously issued financial statements; (v) as a result, these financial statements were inaccurate and would likely need to be restated; (vi) BigBear would require extra time and expense to correct the inaccurate financial statements, thereby increasing the risk that the Company would be unable to timely file certain financial reports with the U.S. Securities and Exchange Commission ('SEC'); and (vii) as a result, the Company's public statements were materially false and misleading at all relevant times. On March 18, 2025, BigBear disclosed in a filing with the SEC that certain of the Company's financial statements since fiscal year 2021 should no longer be relied upon and would be restated. Specifically, management identified a material error in the previously reported financial statements related to the accounting treatment of the Company's 2026 Convertible Notes. In addition, BigBear revealed that, as a result of the foregoing, the Company would be unable to timely file its Annual Report for 2024 (the '2024 10-K') 'without unreasonable effort or expense.' On this news, BigBear's stock price fell $0.52 per share, or 14.9%, to close at $2.97 per share on March 18, 2025. Then, post-market on March 25, 2025, BigBear filed its 2024 10-K. In discussing the error in the previously reported financial statements, the 2024 10-K stated, in relevant part, that a 'conversion option embedded within the 2026 Notes was incorrectly deemed to be eligible for a scope exception from the bifurcation requirements of ASC 815-15 and therefore requires bifurcation as a derivative (' 2026 Notes Conversion Option ')' and that '[t]he 2026 Notes include certain adjustments to the conversion rate that violate the 'fixed-for-fixed' criteria described in [ASC] 815-40.' As a result, the consolidated financial statements were restated 'to reflect the issuance of the 2026 Notes Conversion Option at fair value as of December 7, 2021 and the subsequent remeasurement to fair value at each reporting date.' The 2024 10-K further revealed that the adjustments reflected in the restatements related to, among other items, accumulated deficit, derivative liabilities, deferred tax liabilities, net loss, interest expense, and amortization of debt issuance discount. Finally, the 2024 10-K disclosed that the Company had identified a material weakness in its internal control over financial reporting—specifically, that BigBear had not 'consistently executed [its] technical accounting review policies, inclusive of the application of certain interpretations subject to significant judgement or differences in interpretation, at a precision level sufficient to achieve complete, accurate and timely financial accounting, reporting and disclosures of certain non-routine, unusual, or complex transactions.' On this news, BigBear's stock price fell $0.32 per share, or 9.11%, to close at $3.19 per share on March 26, 2025. Pomerantz LLP, with offices in New York, Chicago, Los Angeles, London, Paris, and Tel Aviv, is acknowledged as one of the premier firms in the areas of corporate, securities, and antitrust class litigation. Founded by the late Abraham L. Pomerantz, known as the dean of the class action bar, Pomerantz pioneered the field of securities class actions. Today, more than 85 years later, Pomerantz continues in the tradition he established, fighting for the rights of the victims of securities fraud, breaches of fiduciary duty, and corporate misconduct. The Firm has recovered billions of dollars in damages awards on behalf of class members. See Attorney advertising. Prior results do not guarantee similar outcomes. CONTACT: Danielle Peyton Pomerantz LLP
Associated Press
27-05-2025
- Business
- Associated Press
SOUN INVESTOR ALERT: Bronstein, Gewirtz & Grossman LLC Announces that SoundHound AI, Inc. Investors with Substantial Losses Have Opportunity to Lead Class Action Lawsuit
NEW YORK, May 27, 2025 (GLOBE NEWSWIRE) -- Attorney Advertising -- Bronstein, Gewirtz & Grossman, LLC, a nationally recognized law firm, notifies investors that a class action lawsuit has been filed against SoundHound AI, Inc. ('SoundHound' or 'the Company') (NASDAQ: SOUN) and certain of its officers. Class Definition This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired SoundHound securities between May 10, 2024 and March 3, 2025, both dates inclusive (the 'Class Period'). Such investors are encouraged to join this case by visiting the firm's site: Case Details The complaint alleges that, throughout the Class Period, Defendants made materially false and misleading statements regarding the Company's business, operations, and prospects. Specifically, the Complaint alleges that Defendants made false and/or misleading statements and/or failed to disclose that: (1) the material weaknesses in SoundHound's internal controls over financial reporting impaired the Company's ability to effectively account for corporate acquisitions; (2) in addition, the Company overstated the extent to which it had remediated, and/or its ability to remediate, the material weaknesses in its internal controls over financial reporting; (3) as a result of the foregoing material weaknesses, SoundHound's reported goodwill following the Amelia Acquisition was inflated and would need to be corrected; (4) further, SoundHound would likely require extra time and expense to effectively account for the SYNQ3 and Amelia Acquisitions; (5) the foregoing increased the risk that the Company would be unable to timely file certain financial reports with the United States Securities and Exchange Commission ('SEC'); and (6) as a result, the Company's public statements were materially false and misleading at all relevant times. What's Next? A class action lawsuit has already been filed. If you wish to review a copy of the Complaint, you can visit the firm's site: or you may contact Peretz Bronstein, Esq. or his Client Relations Manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC at 332-239-2660. If you suffered a loss in SoundHound you have until May 27, 2025, to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as lead plaintiff. There is No Cost to You We represent investors in class actions on a contingency fee basis. That means we will ask the court to reimburse us for out-of-pocket expenses and attorneys' fees, usually a percentage of the total recovery, only if we are successful. Why Bronstein, Gewirtz & Grossman Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our firm has recovered hundreds of millions of dollars for investors nationwide. Follow us for updates on LinkedIn, X, Facebook, or Instagram. Attorney advertising. Prior results do not guarantee similar outcomes. Contact Bronstein, Gewirtz & Grossman, LLC Peretz Bronstein or Nathan Miller 332-239-2660 | [email protected]
Associated Press
27-05-2025
- Business
- Associated Press
SHAREHOLDER INVESTIGATION: Halper Sadeh LLC Investigates INZY, TXNM, SVT, PTIX on Behalf of Shareholders
NEW YORK, May 27, 2025 (GLOBE NEWSWIRE) -- Halper Sadeh LLC, an investor rights law firm, is investigating the following companies for potential violations of the federal securities laws and/or breaches of fiduciary duties to shareholders relating to: Inozyme Pharma, Inc. (NASDAQ: INZY)'s sale to BioMarin Pharmaceutical Inc. for $4.00 per share. If you are an Inozyme shareholder, click here to learn more about your rights and options . TXNM Energy, Inc. (NYSE: TXNM)'s sale to Blackstone for $61.25 per share in cash. If you are a TXNM shareholder, click here to learn more about your legal rights and options . Servotronics, Inc. (NYSE: SVT)'s sale to TransDigm Group Incorporated for $38.50 per share in cash. If you are a Servotronics shareholder, click here to learn more about your rights and options . Protagenic Therapeutics, Inc. (NASDAQ: PTIX)'s merger with Phytanix Bio Inc. Upon completion of the proposed transaction, Protagenic shareholders are expected to own approximately 35% of the combined company. If you are a Protagenic shareholder, click here to learn more about your rights and options . Halper Sadeh LLC may seek increased consideration for shareholders, additional disclosures and information concerning the proposed transaction, or other relief and benefits on behalf of shareholders. We would handle the action on a contingent fee basis, whereby you would not be responsible for out-of-pocket payment of our legal fees or expenses. Shareholders are encouraged to contact the firm free of charge to discuss their legal rights and options. Please call Daniel Sadeh or Zachary Halper at (212) 763-0060 or email [email protected] or [email protected] . Halper Sadeh LLC represents investors all over the world who have fallen victim to securities fraud and corporate misconduct. Our attorneys have been instrumental in implementing corporate reforms and recovering millions of dollars on behalf of defrauded investors. Attorney Advertising. Prior results do not guarantee a similar outcome. Contact Information: Halper Sadeh LLC Daniel Sadeh, Esq. Zachary Halper, Esq. One World Trade Center 85th Floor New York, NY 10007 (212) 763-0060 [email protected] [email protected]
Associated Press
25-05-2025
- Business
- Associated Press
FLOC Investors Have Opportunity to Join Flowco Holdings Fraud Investigation with the Schall Law Firm
LOS ANGELES--(BUSINESS WIRE)--May 24, 2025-- The Schall Law Firm, a national shareholder rights litigation firm, announces that it is investigating claims on behalf of investors of Flowco Holdings ('Flowco' or 'the Company') (NYSE: FLOC ) for violations of the securities laws. The investigation focuses on whether the Company issued false and/or misleading statements and/or failed to disclose information pertinent to investors. Flowco reported its financial results for Q1 2025 on May 13, 2025. The Company missed consensus estimates on revenue and GAAP earnings. The Company claimed that 'the U.S. upstream outlook has been challenged by evolving tariff policies, OPEC+ commentary suggesting accelerated production, and broader economic uncertainty.' Based on this news, shares of Flowco fell by more than 12.5% on the same day. If you are a shareholder who suffered a loss, click here to participate. We also encourage you to contact Brian Schall of the Schall Law Firm, 2049 Century Park East, Suite 2460, Los Angeles, CA 90067, at 310-301-3335, to discuss your rights free of charge. You can also reach us through the firm's website at or by email at [email protected]. The Schall Law Firm represents investors around the world and specializes in securities class action lawsuits and shareholder rights litigation. This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and rules of ethics. View source version on CONTACT: The Schall Law Firm Brian Schall, Esq. 310-301-3335 [email protected] KEYWORD: CALIFORNIA UNITED STATES NORTH AMERICA INDUSTRY KEYWORD: CLASS ACTION LAWSUIT PROFESSIONAL SERVICES LEGAL SOURCE: The Schall Law Firm Copyright Business Wire 2025. PUB: 05/24/2025 09:33 PM/DISC: 05/24/2025 09:32 PM
