NEW YORK--(BUSINESS WIRE)--
Rosen Law Firm, a global investor rights law firm, announces it is investigating potential securities claims on behalf of shareholders of ZTO Express (Cayman) Inc. (NYSE:ZTO) resulting from allegations that ZTO may have issued materially misleading business information to the investing public.
On October 27, 2016, ZTO conducted a public offering of 72,100,000 American Depository Shares (“ADSs”) at a price of $19.50 per share, raising $1.4 billion (the “Offering”). ZTO’s registration statement and prospectus filed with the U.S. Securities and Exchange Commission in support of the Offering presented a highly positive picture of ZTO’s business, performance, prospects, and acreage, while omitting crucial realities. ZTO specifically emphasized its strong operating leverage, superior profitability, and rapid growth. However, ZTO failed to disclose that it was improperly inflating its stated profit margins far above industry norms by keeping low-margin segments of its business out of its financial statements. Since the Offering, the price of ZTO’s ADSs has fallen approximately 25%.
Rosen Law Firm is preparing a class action lawsuit to recover losses suffered by ZTO investors. If you purchased shares of ZTO, please visit the firm’s website at http://www.rosenlegal.com/cases-1159.html for more information. You may also contact Phillip Kim or Kevin Chan of Rosen Law Firm toll free at 866-767-3653 or via email at [email protected] or [email protected].
Follow us for updates on LinkedIn: https://www.linkedin.com/company/the-rosen-law-firm or on Twitter: https://twitter.com/rosen_firm. Since 2014, Rosen Law Firm has been ranked #2 in the nation by Institutional Shareholder Services for the number of securities class action settlements annually obtained for investors.
Rosen Law Firm represents investors throughout the globe, concentrating its practice in securities class actions and shareholder derivative litigation.
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