BENSALEM, Pa. -- (Business Wire)
Law
Offices of Howard G. Smith announces that it is investigating
potential claims on behalf of investors of Enzymotec Ltd. (“Enzymotec”
or the “Company”) (NASDAQ:ENZY) concerning possible violations of
federal securities laws. The investigation focuses on certain statements
issued by Enzymotec concerning the Company’s business, operations and
financial prospects. Enzymotec develops, manufactures and markets
bio-active lipid ingredients used in the production of various
nutritional products. The Company’s primary source of revenue is through
its baby formula business, including the popular InFat line of products.
The investigation is related to allegations that the Registration
Statement and Prospectus issued in connection with the Company’s initial
public offering on or about September 27, 2013, contained materially
false and misleading statements and omitted material information,
including that:
-
Enzymotec’s Chinese business was subject to material and readily
identifiable compliance regulations from the Chinese government.
-
The Company’s baby formula business in China was jeopardized and
subject to increased volatility and decreased revenues.
-
The Company’s joint venture with AarhusKarlshamn AB, which marketed
the popular InFat product, was crumbling and subjected the Company to
liability and decreased revenues.
On May 14, 2014, the Company disclosed for the first time that “Chinese
regulations require infant formula manufacturers to make certain changes
to their production chain,” and as a result the Company’s revenues were
lower. On August 5, 2014, the Company further disclosed the increased
impact of the Chinese regulations on its sales of infant formula, and
announced financial results that were significantly lower than the prior
year in almost all respects. As a result of this news, Enzymotec shares
declined $5.85 per share, or nearly 40%, to close on August 5, 2014, at
$9.11 per share, on volume of more than 1 million shares.
If you purchased Enzymotec shares between September 27, 2013 and August
4, 2014, if you have information or would like to learn more about these
claims, or if you have any questions concerning this announcement or
your rights or interests with respect to these matters, please contact
Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070
Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at
(215) 638-4847, Toll Free at (888) 638-4847, or by email to howardsmith@howardsmithlaw.com,
or visit our website at www.howardsmithlaw.com.
Contacts:
Law Offices of Howard G. Smith
Howard G. Smith, Esquire
(215)
638-4847
(888) 638-4847
howardsmith@howardsmithlaw.com
www.howardsmithlaw.com
Source: Law Offices of Howard G. Smith
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