NEW YORK, May 23, 2015 (GLOBE NEWSWIRE) -- The Rosen Law Firm, a global investor rights firm, reminds purchasers of iDreamSky Technology Ltd. (Nasdaq:DSKY) American Depositary Shares ("ADSs") from August 8, 2014 through March 13, 2015 or pursuant to the IPO of the important June 1, 2015 lead plaintiff deadline in the class action. The lawsuit seeks to recover damages for iDreamSky investors under the federal securities laws.
To join the iDreamSky class action, go to the firm's website at http://www.rosenlegal.com/cases-549.html or call Phillip Kim, Esq. or Kevin Chan, Esq. toll-free at 866-767-3653 or email pkim@rosenlegal.com or kchan@rosenlegal.com for information on the class action.
NO CLASS HAS YET BEEN CERTIFIED IN THE ABOVE ACTION. UNTIL A CLASS IS CERTIFIED, YOU ARE NOT REPRESENTED BY COUNSEL UNLESS YOU RETAIN ONE. YOU MAY ALSO REMAIN AN ABSENT CLASS MEMBER AND DO NOTHING AT THIS POINT. YOU MAY RETAIN COUNSEL OF YOUR CHOICE.
The lawsuit alleges that iDreamSky made false and/or misleading statements and/or failed to disclose that: (1) the Company had overstated its ability to monetize its user base and effectively integrate its distribution channels; (2) as a result, the Company had to lower its earnings guidance; and (3) as a result of the foregoing, the Company's statements about its business operations were materially false and misleading and/or lacked a reasonable basis.
On March 13, 2015, after the market closed, the Company lowered its revenue guidance for the fourth quarter of 2014 to be between $52.7 million and $53 million, as compared to the previously announced revenue guidance of between $62.9 million and $66.1 million. According to the Company, the revised guidance reflected the delay in the launch of a popular game on one of the Company's distribution platforms, and lower than expected revenues from another game being launched simultaneously as other hit games on the same distribution platform. On this news, shares of iDreamSky fell $3.60 per share or over 33% to close at $7.22 per share on March 16, 2015, damaging investors.
A class action lawsuit has already been filed. If you wish to serve as lead plaintiff, you must move the Court no later than June 1, 2015. If you wish to join the litigation, go to the firm's website at http://www.rosenlegal.com/cases-549.html or to discuss your rights or interests regarding this class action, please contact Phillip Kim, Esq. or Kevin Chan, Esq. of The Rosen Law Firm toll free at 866-767-3653 or via e-mail at pkim@rosenlegal.com or kchan@rosenlegal.com.
The Rosen Law Firm represents investors throughout the globe, concentrating its practice in securities class actions and shareholder derivative litigation.