INVESTOR ALERT: Class Action Lawsuit against Youku Tudou Inc. Announced by Glancy Binkow & Goldberg LLP
March 26 2015 - 5:15PM
Business Wire
Glancy Binkow & Goldberg LLP announces that a class action
lawsuit has been filed in the United States District Court for the
Southern District of New York on behalf of a class (the “Class”)
comprising purchasers of the securities of Youku Tudou Inc.
(“Youku” or the “Company”) (NYSE:YOKU) between February 27, 2014
and March 19, 2015 , inclusive (the “Class Period”). Investors who
purchased Youku securities during the Class Period and wish to
serve as a lead plaintiff in the class action must move the Court
no later than May 25, 2015.
Please contact Casey Sadler at (888) 773-9224 or (310) 201-9150
or at shareholders@glancylaw.com to discuss this matter. If you
inquire by email please include your mailing address, telephone
number and number of shares purchased.
Youku operates as an Internet television company in the People's
Republic of China. Its Internet television platform enables
consumers to search, view, and share video content across various
devices.
The Complaint alleges that throughout the Class Period,
Defendants made materially false and misleading statements
concerning the Company's accounting, compliance and operations.
Specifically, Defendants made false and/or misleading statements
and/or failed to disclose that: (1) the Company improperly
recognized revenue for multi-element arrangements; (2) the Company
improperly recorded certain nonmonetary transactions to exchange
online broadcasting rights of video content with other online video
broadcasting companies at the carrying values of the broadcasting
rights transacted, instead of the properly-accounted fair value;
(3) the Company improperly accounted for its licensed content as
long-lived assets; (4) the Company lacked adequate internal
controls over financial reporting; and (5) as a result of the
foregoing, the Company's financial statements were materially false
and misleading at all relevant times.
On March 19, 2015, after only two days’ notice of its pending
earnings release, the Company reported a net loss of $51.3 million,
compared to $4 million in the same quarter of 2013. Moreover, Youku
disclosed that the SEC is investigating certain aspects of the
Company's past accounting practices relating to revenue recognition
for multi-part deals, accounting of "non-monetary exchanges of
licensed content" and the classification of licensed content as
long-lived assets. The Company also announced that it is now
"evaluating the impact to its 2014 and historical financial
statements."
On this news, Youku's stock price dropped nearly 11% per share,
from a March 19, 2015 closing price of $15.15 per share, to close
at $13.50 per share on March 20, 2015
This press release may be considered Attorney Advertising in
some jurisdictions under the applicable law and ethical rules.
Glancy Binkow & Goldberg LLP, Los Angeles, CALesley
PortnoyCasey Sadler310-201-9150888-773-9224shareholders@glancylaw.comwww.glancylaw.com
Youku Tudou Inc. American Depositary Shares, Each Representing 18 Class A Ordinary Shares. (NYSE:YOKU)
Historical Stock Chart
From Mar 2024 to Apr 2024
Youku Tudou Inc. American Depositary Shares, Each Representing 18 Class A Ordinary Shares. (NYSE:YOKU)
Historical Stock Chart
From Apr 2023 to Apr 2024
