NEW YORK, Jan. 09, 2018 (GLOBE NEWSWIRE) -- Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in RYB Education, Inc. (“RYB” or the “Company”) (NYSE:RYB) of the January 26, 2018 deadline to seek the role of lead plaintiff in a federal securities class action that has been filed against the Company.
If you invested in RYB’s American Depositary Receipts (“ADRs”) pursuant to the Company’s Initial Public Offering (“IPO”) on September 27, 2017, and/or on the open market between September 27, 2017 and November 22, 2017, and would like to discuss your legal rights, click here: www.faruqilaw.com/RYB. There is no cost or obligation to you.
You can also contact us by calling Richard Gonnello toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to rgonnello@faruqilaw.com.
CONTACT:
FARUQI & FARUQI, LLP
685 Third Avenue, 26th Floor
New York, NY 10017
Attn: Richard Gonnello, Esq.
rgonnello@faruqilaw.com
Telephone: (877) 247-4292 or (212) 983-9330
The lawsuit has been filed in the U.S. District Court for the Southern District of New York on behalf of all those who purchased RYB’s ADRs pursuant to the Company’s IPO on September 27, 2017, and or between September 27, 2017 and November 22, 2017 (the “Class Period”). The case, Qian v. RYB Education, Inc. et al, No. 1:17-cv-09261 was filed on November 27, 2017.
The lawsuit focuses on whether the Company and its executives violated federal securities laws by failing to disclose that: (1) RYB failed to establish effective safety policies to prevent sexual abuse from occurring at its schools; and (2) the Company’s failure to remedy such problems within its system exposed children to harm and unreasonable risk of harm while in the Company’s care.
Specifically, on November 24, 2017, Xinhua News Agency, China’s leading newspaper, reported that RYB had suspended several teachers at one of its facilities after certain kindergarten students were “reportedly sexually molested, pierced by needles, given unidentified pills,” and forced to undress and locked in a dark room. Additionally, some parents reported that at least eight children have been abused at the school and that the children themselves had given similar accounts with respect to their abuse.
After the announcement, RYB’s ADR price fell from $26.71 on November 22, 2017 to a closing price of $16.45 on November 24, 2017—a $10.26 or a 38.41% drop.
The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class who is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision to serve as a lead plaintiff or not.
Faruqi & Faruqi, LLP also encourages anyone with information regarding RYB’s conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
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