NEW YORK, Nov. 27, 2019 /PRNewswire/ -- Bernstein
Liebhard, a nationally acclaimed investor rights law firm,
announces that a securities class action has been filed on behalf
of investors that purchased or acquired the securities of HEXO
Corp., Inc. ("HEXO" or the "Company") (NYSE: HEXO) between
January 25, 2019 and
November 15, 2019, (the "Class
Period"). The lawsuit filed in the
United States District Court for the Southern District of
New York alleges violations of the
Securities Exchange Act of 1934.
If you purchased HEXO securities, and/or would like to
discuss your legal rights and options please visit HEXO
Shareholder Class Action Lawsuit or contact Matthew E. Guarnero toll free at (877)
779-1414 or MGuarnero@bernlieb.com.
The complaint filed in this class action 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, the Complaint alleges Defendants
failed to disclose to investors that: (1) HEXO's reported inventory
was misstated as the Company was failing to write down or write off
obsolete product that no longer had value; (2) HEXO was engaging in
channel-stuffing in order to inflate its revenue figures and meet
or exceed revenue guidance provided to investors; (3) HEXO was
cultivating cannabis at its facility in Niagara, Ontario that was not appropriately licensed by
Health Canada; and (4) that, as a result of the foregoing,
Defendants' positive statements about the Company's business,
operations, and prospects were materially misleading and/or lacked
a reasonable basis.
The truth emerged through a series of disclosures occurring
between Oct. 4, 2019 and Nov. 15, 2019, when the Company announced that
it was producing cannabis in a section of its Niagara facility that was not properly
licensed with Health Canada. As a result of these disclosures, the
value of HEXO stock has consistently decreased, damaging
investors.
If you purchased HEXO securities, and/or would like to
discuss your legal rights and options please visit
https://www.bernlieb.com/cases/hexocorp-hexo-shareholder-class-action-lawsuit-stock-fraud-226/apply/
or contact Matthew E. Guarnero toll
free at (877) 779-1414 or MGuarnero@bernlieb.com.
If you wish to serve as lead plaintiff, you must move the Court
no later than January 27, 2020. A
lead plaintiff is a representative party acting on behalf of other
class members in directing the litigation. Your ability to share in
any recovery doesn't require that you serve as lead plaintiff. If
you choose to take no action, you may remain an absent class
member.
Since 1993, Bernstein Liebhard LLP has recovered over
$3.5 billion for its clients. In
addition to representing individual investors, the Firm has been
retained by some of the largest public and private pension funds in
the country to monitor their assets and pursue litigation on their
behalf. As a result of its success litigating hundreds of lawsuits
and class actions, the Firm has been named to The National
Law Journal's "Plaintiffs' Hot List" thirteen times and
listed in The Legal 500 for ten consecutive
years.
ATTORNEY ADVERTISING. © 2019 Bernstein Liebhard LLP. The law
firm responsible for this advertisement is Bernstein Liebhard LLP,
10 East 40th Street, New York, New
York 10016, (212) 779-1414. The lawyer responsible for this
advertisement in the State of
Connecticut is Michael S. Bigin. Prior results do not
guarantee or predict a similar outcome with respect to any future
matter.
Contact Information
Matthew E. Guarnero
Bernstein Liebhard LLP
https://www.bernlieb.com
(877) 779-1414
MGuarnero@bernlieb.com
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SOURCE Bernstein Liebhard LLP