Kirby McInerney LLP Announces Investigation of Shareholder Claims Against WEBTOON Entertainment Inc. (WBTN)

NEW YORK--(BUSINESS WIRE)--The law firm of Kirby McInerney LLP is investigating potential claims against WEBTOON Entertainment Inc. (“Webtoon” or the “Company”) (NASDAQ: WBTN). The investigation concerns whether Webtoon and/or certain of its officers have violated the federal securities laws and/or engaged in other unlawful business practices.

[Click here to learn more about the investigation]

On August 8, 2024, just six weeks after completing its initial public offering (“IPO”), Webtoon announced its second-quarter 2024 revenue of $321 million, coming in significantly below the $340.8 million forecast made by analysts. Webtoon also reported a quarterly net loss of $76.6 million, or 70 cents, also below the market forecasts of 72 cents for the quarter, which ended just days after the IPO. The company stated that its quarterly loss was driven by one-time IPO costs and stock-based compensation expenses, in addition to significant exposure to weaker foreign currencies, including the South Korean won and the Japanese yen, reducing its revenue. On this news, the price of Webtoon shares declined by $7.88 per share, or approximately 38.1%, from $20.63 per share on August 8, 2024, to close at $12.75 on August 8, 2024.

If you purchased or otherwise acquired Webtoon securities, have information, or would like to learn more about this investigation, contact Thomas W. Elrod of Kirby McInerney LLP by email at [e-mail], or by filling out this CONTACT FORM, to discuss your rights or interests with respect to these matters without any cost to you.

Kirby McInerney LLP is a New York-based plaintiffs’ law firm concentrating in securities, antitrust, whistleblower, and consumer litigation. The firm’s efforts on behalf of shareholders in securities litigation have resulted in recoveries totaling billions of dollars.

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.