NEW YORK, May 5, 2020 /PRNewswire/ -- Kaplan Fox & Kilsheimer LLP (www.kaplanfox.com) is investigating claims on behalf of investors of Phoenix Tree Holdings Limited ("Phoenix Tree" or the "Company") (NYSE: DNK), a company that leases and manages apartments in China. A class action securities lawsuit has been filed on behalf of investors who purchased Phoenix Tree American Depositary Shares ("shares") in or traceable to the Company's initial public offering ("IPO").
On or about January 22, 2020, Phoenix Tree conducted its initial public offering ("IPO"), selling 9.6 million shares at $13.50 per share.
Then, on March 25, 2020, Phoenix Tree issued a press release announcing its unaudited financial results for the fourth quarter and fiscal year ended December 31, 2019, cautioning investors that the Company expected the COVID-19 pandemic to adversely affect its financial performance for the first quarter of 2020.
The complaint alleges that the Offering Materials for the IPO were false and misleading because they failed to disclose, among other things, that (i) at the time of the IPO, Phoenix Tree was already contending with extraordinarily adverse developments in China due to the coronavirus that presented events, risk and uncertainties that were reasonably likely to materially affect Phoenix Tree's business, operations and financial condition, and (ii) that before the IPO Phoenix Tree had received customer complaints and negative press regarding questionable business conduct.
Since the IPO, Phoenix Tree shares have fallen sharply in price, thereby damaging investors. As of April 24, 2020, the date the complaint was filed, Phoenix Tree shares closed at $6.97, more than 48% lower than the IPO price.
If you are a member of the proposed Class, you may move the court no later than June 26, 2020 to serve as a lead plaintiff for the purported class. You need not seek to become a lead plaintiff in order to share in any possible recovery. If you would like to discuss the complaint or our investigation, please contact us by emailing firstname.lastname@example.org or by calling 646-315-9003.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
Kaplan Fox & Kilsheimer LLP, with offices in New York, San Francisco, Los Angeles, Chicago and New Jersey, has many years of experience in prosecuting investor class actions. For more information about Kaplan Fox & Kilsheimer LLP, you may visit our website at www.kaplanfox.com. If you have any questions about this Notice, your rights, or your interests, please contact:
Donald R. Hall
KAPLAN FOX & KILSHEIMER LLP
850 Third Avenue, 14th Floor
New York, New York 10022
Fax: (212) 687-7714
Laurence D. King
KAPLAN FOX & KILSHEIMER LLP
1999 Harrison Street, Suite 1560
Oakland, California 94612
Fax: (415) 772-4707
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SOURCE Kaplan Fox & Kilsheimer LLP