LOS ANGELES--(BUSINESS WIRE)--The Law Offices of Frank R. Cruz announces an investigation of BlueCity Holdings Limited (“BlueCity” or the “Company”) (NASDAQ: BLCT) on behalf of investors concerning the Company’s possible violations of federal securities laws.
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On December 2, 2020, BlueCity reported its third quarter and fiscal year 2020 results, disclosing, among other results, that the Company's cost of revenues had increased 41.4% year-over-year, selling and marketing expenses had increased 86.3% year-over-year, technology and development expenses had increased 49.5% year-over-year, and general and administrative expenses had increased 4,349% year-over-year.
On this news, the Company’s American Depositary Share ("ADS") price fell $3.30 per ADS, or 22.84%, to close at $11.15 per ADS on December 2, 2020, thereby injuring investors.
Then on March 23, 2021, BlueCity reported its results for the fourth quarter of 2020, disclosing, among other results, revenue of $42.7 million, missing consensus estimates by $3.92 million.
On this news, BlueCity's ADS price fell $3.25 per ADS, or 26.71%, over the following two trading sessions, to close at $8.92 per ADS on March 24, 2021, thereby injuring investors. Follow us for updates on Twitter: twitter.com/FRC_LAW.
If you purchased BlueCity ADSs, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Frank R. Cruz, of The Law Offices of Frank R. Cruz, 1999 Avenue of the Stars, Suite 1100, Los Angeles, California 90067 at 310-914-5007, by email to firstname.lastname@example.org, or visit our website at www.frankcruzlaw.com. If you inquire by email please include your mailing address, telephone number, and number of shares purchased.
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