NEW YORK--(BUSINESS WIRE)--
Scott+Scott, Attorneys at Law, LLP (“Scott+Scott”), a national securities and consumer rights litigation firm, is notifying investors that a class action lawsuit has been filed against NQ Mobile Inc. (NYSE:NQ) (“NQ Mobile” or the “Company”) and other defendants, related to alleged violations of federal securities laws. If you purchased NQ securities between March 30, 2017 and February 6, 2018, you are encouraged to contact a Scott+Scott attorney at (844) 818-6980 for additional information.
NQ Mobile is a global provider of mobile Internet services.
The lawsuit claims that defendants made materially false and/or misleading statements and/or failed to disclose: (1) related party transactions involving NQ Mobile and Tongfang Investment Fund Series SPC (“Tongfang”); (2) due to the related parties involved in the transactions, NQ Mobile agreed to consideration in the form of a note with a high likelihood of default; (3) Company Chairman Vincent Wenyong Shi’s interest in the Transaction was not fully disclosed; and (4) as a result, Defendants’ statements about NQ Mobile’s business, operations and prospects were materially false and misleading and/or lacked a reasonable basis.
On February 6, 2018, Seeking Alpha published an article entitled “NQ Mobile: Undisclosed Transfer Of Subsidiaries To Chairman Introduces Significant Risks – Price Target $0,” which asserted that Chinese corporate records lead them to believe that insiders control Tongfang. The article further stated that NQ Mobile is likely to default when its convertible debt comes due in October 2018.
On this news, shares of NQ Mobile fell $1.30, over 43%, to close at $1.68 on February 6, 2018.
What You Can Do
If you purchased NQ Mobile securities between March 30, 2017 and February 6, 2018, inclusive, or if you have questions about this notice or your legal rights, please contact attorney Rhiana Swartz at (844) 818-6980, or at [email protected]. Investors have until April 11, 2018, to move for lead plaintiff.
About Scott+Scott, Attorneys at Law, LLP
Scott+Scott has significant experience in prosecuting major securities, antitrust, and employee retirement plan actions throughout the United States. The firm represents pension funds, foundations, individuals, and other entities worldwide with offices in New York, London, Connecticut, California, and Ohio.
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