Kessler Topaz Meltzer & Check, LLP: Announces Securities Fraud Class Action Lawsuit Filed against PLAYSTUDIOS, Inc.
News provided byKessler Topaz Meltzer & Check LLP
May 07, 2022, 8:05 PM ET
RADNOR, Pa., May 07, 2022 (GLOBE NEWSWIRE) -- The law firm of Kessler Topaz Meltzer & Check, LLP (www.ktmc.com) informs investors that a securities class action lawsuit has been filed in the United States District Court for the Northern District of California against PLAYSTUDIOS, Inc. (“PLAYSTUDIOS”) (NASDAQ: MYPS; MYPSW) f/k/a Acies Acquisition Corp. (“Acies”) (NASDAQ: ACAC; ACACW). The action charges PLAYSTUDIOS with violations of the federal securities laws, including omissions and fraudulent misrepresentations relating to the company’s business, operations, and prospects. The lawsuit also includes claims relating to a merger transaction with Acies and asserts claims on behalf of investors who held Acies common stock as of May 25, 2021, were eligible to vote at Acies’ June 17, 2021 special meeting, and who exchanged their shares of Acies stock for PLAYSTUDIOS stock in connection with the merger. As a result of PLAYSTUDIOS’ materially misleading statements to the public, PLAYSTUDIOS’ investors have suffered significant losses.
CLICK HERE TO SUBMIT YOUR PLAYSTUDIOS LOSSES. YOU CAN ALSO CLICK ON THE FOLLOWING LINK OR COPY AND PASTE IN YOUR BROWSER: https://www.ktmc.com/new-cases/playstudios-inc?utm_source=PR&utm_medium=link&utm_campaign=playstudios
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LEAD PLAINTIFF DEADLINE: JUNE 6, 2022
CLASS PERIOD: JUNE 22, 2021 THROUGH MARCH 1, 2022
CONTACT AN ATTORNEY TO DISCUSS YOUR RIGHTS:
James Maro, Esq. at (484) 270-1453 or via email at firstname.lastname@example.org
THE CLASS INCLUDES: Investors who (1) purchased or acquired PLAYSTUDIOS securities between June 22, 2021 and March 1, 2022, including, but not limited to, those who purchased or acquired PLAYSTUDIOS securities pursuant to the offering of the private investment in public equity; (2) held Acies common stock as of May 25, 2021, and were eligible to vote at Acies’ June 17, 2021 special meeting who exchanged their Acies stock for PLAYSTUDIOS stock; or (3) purchased or acquired PLAYSTUDIOS common stock pursuant or traceable to the Acies’ Registration Statement and Proxy Statement issued in connection with the June 2021 merger.
Kessler Topaz is one of the world’s foremost advocates in protecting the public against corporate fraud and other wrongdoing. Our securities fraud litigators are regularly recognized as leaders in the field individually and our firm is both feared and respected among the defense bar and the insurance bar. We are proud to have recovered billions of dollars for our clients and the classes of shareholders we represent.
PLAYSTUDIOS’ ALLEGED MISCONDUCT
On February 1, 2021, Acies, a special purpose acquisition company, announced that it had reached a merger agreement with “Old Playstudios,” a privately-held gaming company (the “Merger”). PLAYSTUDIOS’ flagship game was Kingdom Boss. PLAYSTUDIOS told investors that “Kingdom Boss, which began development in 2020, will launch as expected in the second half of 2021.”
On June 17, 2021, Acies held a General Meeting where Acies shareholders were asked to approve the Merger. The Merger closed on June 21, 2021, and on June 22, 2021, PLAYSTUDIOS stock and warrants began publicly trading on NASDAQ.
The truth began to be revealed on August 11, 2021, when PLAYSTUDIOS released its financial results for the second quarter of 2021 wherein PLAYSTUDIOS revealed for the first time that the Kingdom Boss launch was being delayed until later in the year and that investors should expect decreased revenues and profits during the year as a result. These quarterly financial results were finalized on June 30, 2021, just nine days after the Merger closed. Thus, defendants knew or recklessly disregarded prior to the merger close (June 21, 2021) and prior to the merger vote by the Acies shareholders (June 17, 2021), that Kingdom Boss would not be ready to launch within just a matter of weeks. Following this news, PLAYSTUDIOS stock price fell $.66 to close at $5.09 per share on August 12, 2021, a decline of 13%.
Then, on February 24, 2022, during an earnings call for the fourth quarter ended December 31, 2021, PLAYSTUDIOS’ CEO, much to investors’ surprise, disclosed that Kingdom Boss would not be launched at all. Following this news, PLAYSTUDIOS stock price fell $.24 to close at $4.86 per share on February 25, 2022, a decline of 5%. Two days later, on February 26, 2022, PLAYSTUDIOS’ CEO attributed the failure to meet the projections made for revenue and earnings to the failure to launch Kingdom Boss, and revealed that Kingdom Boss was not only delayed, but indefinitely “suspended.”
WHAT CAN I DO?
Current PLAYSTUDIOS investors and/or former Acies shareholders may, no later than June 6, 2022 seek to be appointed as a lead plaintiff representative of the class through Kessler Topaz Meltzer & Check, LLP or other counsel, or may choose to do nothing and remain an absent class member. Kessler Topaz Meltzer & Check, LLP encourages PLAYSTUDIOS investors and/or former Acies shareholders who have suffered significant losses to contact the firm directly to acquire more information.
CLICK HERE TO SIGN UP FOR THE CASE
WHO CAN BE A LEAD PLAINTIFF?
A lead plaintiff is a representative party who acts on behalf of all class members in directing the litigation. The lead plaintiff is usually the investor or small group of investors who have the largest financial interest and who are also adequate and typical of the proposed class of investors. The lead plaintiff selects counsel to represent the lead plaintiff and the class and these attorneys, if approved by the court, are lead or class counsel. Your ability to share in any recovery is not affected by the decision of whether or not to serve as a lead plaintiff.
ABOUT KESSLER TOPAZ MELTZER & CHECK, LLP
Kessler Topaz Meltzer & Check, LLP prosecutes class actions in state and federal courts throughout the country and around the world. The firm has developed a global reputation for excellence and has recovered billions of dollars for victims of fraud and other corporate misconduct. All of our work is driven by a common goal: to protect investors, consumers, employees and others from fraud, abuse, misconduct and negligence by businesses and fiduciaries. The complaint in this action was not filed by Kessler Topaz Meltzer & Check, LLP. For more information about Kessler Topaz Meltzer & Check, LLP please visit www.ktmc.com.
Kessler Topaz Meltzer & Check, LLP
James Maro, Jr., Esq.
280 King of Prussia Road
Radnor, PA 19087
A video accompanying this announcement is available at https://www.globenewswire.com/NewsRoom/AttachmentNg/fc84b7b2-2979-4035-8f60-7580ed3334d7