BENSALEM, Pa.--(BUSINESS WIRE)--Law Offices of Howard G. Smith reminds investors of the upcoming October 12, 2021 deadline to file a lead plaintiff motion in the case filed on behalf of investors who purchased Yalla Group Limited (“Yalla” or the “Company”) (NYSE: YALA) American Depository Shares (“ADSs” or “shares”) between September 30, 2020 and August 9, 2021, inclusive (the “Class Period”).
Investors suffering losses on their Yalla investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to firstname.lastname@example.org.
On May 19, 2021, Swan Street Research published a report alleging, among other things, that Yalla inflated its financial metrics, including its user data and its revenue, and characterized Yalla’s financial statements as “not credible.”
On this news, the Company’s share price fell $1.31, or 7%, to close at $17.01 per share on May 19, 2021.
Then, on May 20, 2021, The Bear Cave published a report and Gotham City Research tweeted that it was shorting Yalla.
On this news, the Company’s share price fell 6% to close at $15.96 per share on May 20, 2021.
Then, on August 9, 2021, after the market closed, Yalla announced its second quarter 2021 financial results, reporting revenue of $66.62 million, which fell below analysts’ expectations.
On this news, the Company’s share price fell approximately 19% to close at $10.99 per share on August 10, 2021.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations and prospects. Specifically, Defendants failed to disclose to investors that: (1) the Company overstated its user metrics and revenue; and (2) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
If you purchased or otherwise acquired Yalla ADSs during the Class Period, you may move the Court no later than October 12, 2021 to ask the Court to appoint you as lead plaintiff if you meet certain legal requirements. To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. If you wish to learn more about this class action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020, by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to email@example.com, or visit our website at www.howardsmithlaw.com.
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