A lawsuit was filed on behalf of investors in Net 1 UEPS Technologies, Inc. (NASDAQ: UEPS) shares over alleged securities laws violations.
San Diego, CA -- (SBWIRE) -- 02/04/2020 -- An investor, who purchased NASDAQ: UEPS shares, filed a lawsuit over alleged violations of Federal Securities Laws by Net 1 UEPS Technologies, Inc. in connection with certain allegedly false and misleading statements.
Investors who purchased shares of Net 1 UEPS Technologies, Inc. (NASDAQ: UEPS) have certain options and for certain investors are short and strict deadlines running. Deadline: February 3, 2020. NASDAQ: UEPS investors should contact the Shareholders Foundation at firstname.lastname@example.org or call +1(858) 779 - 1554.
On November 8, 2018, Net 1 UEPS Technologies, Inc disclosed "that the Company's consolidated financial statements for the year ended June 30, 2018, included in the Company's Annual Report on Form 10-K for the year ended June 30, 2018, should be restated, and that such consolidated financial statements and Deloitte & Touche (South Africa)'s audit report thereon should no longer be relied upon, due to the Company's re-evaluation of the classification of its investment in Cell C Proprietary Limited ("Cell C")." The Company further disclosed that its "investment [in Cell C] was incorrectly presented as available-for-sale and the change in its fair value of $25.2 million, net of taxation of $7.3 million, was incorrectly recorded in other comprehensive income for the year ended June 30, 2018." Net 1 UEPS Technologies, Inc explained that it "incorrectly used the guidance in ASC 320 Investments-Debt and Equity Securities regarding available-for-sale equity instruments with readily determinable fair values. Cell C's equity securities are not listed on an exchange and therefore there are no sales prices or bid-and-asked quotations that are currently available on a securities exchange, and therefore it did not meet the scope requirements of an equity security under ASC 320. As a result, the investment was incorrectly classified as an available-for-sale equity instrument with the changes in fair value being incorrectly recorded as part of other comprehensive income rather than through earnings."
Shares of Net 1 UEPS Technologies, Inc. (NASDAQ: UEPS) declined to as low as $4.43 per share on November 9, 2018.
The plaintiff alleges on behalf of purchasers of Net 1 UEPS Technologies, Inc. (NASDAQ: UEPS) common shares between September 12, 2018 and November 8, 2018, that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that between September 12, 2018 and November 8, 2018, the defendants made false and/or misleading statements and/or failed to disclose that the Company lacked effective internal control over financial reporting, that the Company had misclassified its investment in Cell C Proprietary Limited, that the Company's financial statements for the fiscal year 2018 were overstating its income, and that as a result, UEPS's public statements were materially false and misleading at all relevant times.
Those who purchased shares of Net 1 UEPS Technologies, Inc. (NASDAQ: UEPS) have certain options and should contact the Shareholders Foundation.
Shareholders Foundation, Inc.
3111 Camino Del Rio North - Suite 423
92108 San Diego
About Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, , which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. Referenced cases, investigation, and/or settlements are not filed/reached and/or related to Shareholders Foundation. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.
For more information on this press release visit:
Media Relations Contact
Email: Click to Email Michael Daniels