Robbins Arroyo LLP: Sogou Inc. (SOGO) Sued for Misleading Investors
SAN DIEGO & BEIJING--(BUSINESS WIRE)--Jan 22, 2019--Shareholder rights law firm Robbins Arroyo LLP announces that purchasers of Sogou Inc. (NYSE: SOGO) American Depository Shares filed a class action complaint against the company for alleged violations of the Securities Exchange Act of 1933 pursuant to the company’s November 9, 2017, initial public offering. Sogou is an Internet search company based in China.
View this information on the law firm’s Shareholder Rights Blog: https://www.robbinsarroyo.com/sogou-inc-jan-19/
Sogou Accused of Selling Counterfeit Goods
According to the complaint, Sogou held its IPO on November 9, 2017, and generated over $625 million in gross proceeds based on misleading offering documents. Sogou failed to disclose that Chinese regulators were analyzing Sogou for regulatory action because of an increase in sales of counterfeit goods and overall insufficient safeguards against compliance violations. In June and July 2018, Chinese media sources reported that authorities had ordered Sogou to remove illegal content from its search engines. On July 30, 2018, Sogou revised guidance for its 3Q 2018 financial results, citing an investigation by Chinese regulatory authorities and the implementation of “remedial measures,” which included a ten-day suspension of part of its advertising business. Since the truth emerged, the value of Sogou’s stock has declined over 50%.
Sogou Shareholders Have Legal Options
Concerned shareholders who would like more information about their rights and potential remedies can contact attorney Leo Kandinov at (800) 350-6003, LKandinov@robbinsarroyo.com, or via the shareholder information form on the firm’s website.
Robbins Arroyo LLP is a nationally recognized leader in shareholder rights law. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested.
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View source version on businesswire.com:https://www.businesswire.com/news/home/20190122005749/en/
CONTACT: Leo Kandinov
Robbins Arroyo LLP
5040 Shoreham Place
San Diego, CA 92122
(619) 525-3990 or Toll Free (800) 350-6003
KEYWORD: UNITED STATES NORTH AMERICA CALIFORNIA
INDUSTRY KEYWORD: PROFESSIONAL SERVICES LEGAL
SOURCE: Robbins Arroyo LLP
Copyright Business Wire 2019.
PUB: 01/22/2019 12:17 PM/DISC: 01/22/2019 12:17 PM