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 Qudian Inc. (“Qudian” or the “Company”) (NYSE: QD), and certain other defendants, related to alleged violations of federal securities laws. If you purchased Qudian American Depositary Shares (“ADSs”) between December 13, 2018 and January 15, 2020, you are encouraged to contact attorney Rhiana Swartz with Scott+Scott for additional information at (844) 818-6980 or email@example.com.
Qudian provides online small consumer credit products in China. Qudian offers small credit products, such as cash credit products; merchandise credit products to finance borrowers’ direct purchase of merchandise offered on its marketplace on installment bases; and budget auto financing products. In addition, it operates a platform for loan recommendations and referrals.
The lawsuit alleges that defendants made materially false and misleading statements regarding the Company’s business, operational, and compliance policies; specifically, that: (i) regulatory developments in China threatened to negatively impact Qudian’s fiscal full year 2019 ("FY19") financial results; (ii) Qudian's business was unprepared to mitigate the risks associated with these regulatory changes; (iii) Qudian's loan portfolio was plagued by growing delinquency rates; (iv) all of the foregoing made Qudian's repeated assertions concerning its FY19 financial guidance unrealistic; and (v) as a result, the Company's public statements were materially false and misleading at all relevant times.
On January 16, 2020, Qudian issued a press release announcing “that the Company withdraws its fiscal 2019 guidance and will not issue guidance in the near term due to uncertainty related to the recent regulatory and operating environment.”
On this news, the price of Qudian ADSs fell $0.84 per share – 19% – to close at $3.55 per share on January 16, 2020.
What You Can Do
If you purchased Qudian ADSs between December 13, 2018 and January 15, 2020, inclusive, or if you have questions about this notice or your legal rights, you are encouraged to contact attorney Rhiana Swartz at (844) 818-6980 or firstname.lastname@example.org. The deadline for lead plaintiff motions is March 23, 2020.
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.