NEW YORK, Jan. 6, 2017 /PRNewswire/ -- Pomerantz LLP
announces that a class action lawsuit has been filed against
TerraVia Holdings, Inc. ("TerraVia" or the "Company")
(NASDAQ: TVIA) and certain of its officers. The
class action, filed in United States District Court, Northern
District of California, and
docketed under 16-cv-07388, is on behalf of a class consisting of
all persons or entities who purchased or otherwise acquired
TerraVia securities between March 13,
2013 and November 4, 2016,
both dates inclusive (the "Class Period"), seeking to recover
compensable damages caused by defendants' violations of the
Securities Exchange Act of 1934.
If you are a shareholder who purchased TerraVia securities
during the Class Period, you have until January 17, 2017 to ask the Court to appoint you
as Lead Plaintiff for the class. A copy of the Complaint can
be obtained at www.pomerantzlaw.com. To discuss this
action, contact Robert S. Willoughby
at rswilloughby@pomlaw.com or 888.476.6529 (or 888.4-POMLAW), toll
free, ext. 9980. Those who inquire by e-mail are encouraged to
include their mailing address, telephone number, and number of
shares purchased.
[Click here to join this class action]
TerraVia creates and sells food, nutrition, and specialty
ingredients from algae. Its platform uses microalgae to produce
high-value triglyceride oils, proteins, fibers, micronutrients, and
other ingredients, including algal flour.
The Company was formerly known as Solazyme, Inc. and changed its
name to TerraVia Holdings, Inc. in March
2016. TerraVia Holdings, Inc. was incorporated in 2003 and
is headquartered in South San Francisco,
California.
The Complaint 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 made false and/or misleading statements and/or failed to
disclose that: (i) ingestion of TerraVia's algal flour caused
gastrointestinal distress, including nausea and vomiting; (ii) the
Company's algal flour was therefore unlikely to be a competitive
product in the market for nutrition foods; (iii) consequently, the
Company had overstated the commercial viability of its algal flour;
and (iv) as a result of the foregoing, TerraVia's public statements
were materially false and misleading at all relevant times.
On November 7, 2016,
Bloomberg published an article entitled "Soylent Thinks It
Found What Was Making People Sick: Algae", stating that an algal
flour ingredient provided by TerraVia for use in Rosa Foods, Inc.'s
("Rosa Foods") flagship meal replacement drink, Soylent, caused
consumers to experience gastrointestinal distress, including nausea
and vomiting, and that Rosa Foods would be removing the ingredient
altogether from its product formulations by early 2017. Despite
TerraVia Senior Vice President Mark
Brooks's adamant denial that TerraVia's algal flour was
responsible, Bloomberg further reported that TerraVia had
sent a letter in July to a distributor of Honey Stinger, a Colorado energy bar company owned by EN-R-G
Foods, LLC, "warning that [TerraVia] had received a 'modest number
of reports' showing that algal protein can cause 'gastrointestinal
distress,' according to a copy seen by Bloomberg"—similar ailments
to those reported by Soylent consumers.
On this news, TerraVia's share price fell $0.15, or 8.11%, to close at $1.70 on November 7,
2016, damaging investors.
The Pomerantz Firm, with offices in New York, Chicago, Florida, and Los
Angeles, is acknowledged as one of the premier firms in the
areas of corporate, securities, and antitrust class litigation.
Founded by the late Abraham L.
Pomerantz, known as the dean of the class action bar, the
Pomerantz Firm pioneered the field of securities class actions.
Today, more than 80 years later, the Pomerantz Firm continues in
the tradition he established, fighting for the rights of the
victims of securities fraud, breaches of fiduciary duty, and
corporate misconduct. The Firm has recovered numerous
multimillion-dollar damages awards on behalf of class members. See
www.pomerantzlaw.com
CONTACT:
Robert S. Willoughby
Pomerantz LLP
rswilloughby@pomlaw.com
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SOURCE Pomerantz LLP