NEW YORK, June 04, 2022 (GLOBE NEWSWIRE) -- Pomerantz LLP is investigating claims on behalf of investors of PLAYSTUDIOS, Inc. (“Playstudios” or the “Company”) ( MYPS). Such investors are advised to contact Robert S. Willoughby at [email protected] or 888-476-6529, ext. 7980.
The investigation concerns whether Playstudios and certain of its officers and/or directors have engaged in securities fraud or other unlawful business practices.
On February 1, 2021, Acies Acquisition Corp., a special purpose acquisition company, announced that it had reached a merger agreement with Playstudios, a privately-held gaming company incorporated under the laws of Delaware (the “Merger”). On June 21, 2021, Playstudios announced that it had completed the Merger and that the Company would begin trading on the Nasdaq as “PLAYSTUDIOS, Inc.” on June 22, 2021.
On August 11, 2021, Playstudios released its financial results for the second quarter of 2021. The financial results reported for the quarter were finalized on June 30, 2021, just nine days after the Merger closed. At that time, Playstudios revealed for the first time that the launch of its flagship game, Kingdom Boss, was being delayed until later in the year and investors should expect decreased revenues and profits during the year as a result.
On this news, Playstudios’ stock price fell $0.66 per share, or 11.48%, to close at $5.09 per share on August 12, 2021.
Then, on February 24, 2022, Playstudios issued a press release summarizing its financial results for the fourth quarter and year ended December 31, 2021, and held an earnings call to discuss the Company’s results. On that call, Playstudios’ Chief Executive officer attributed the Company’s failure to meet 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”.
On this news, Playstudios’ stock price fell $0.24 per share, or 4.71%, to close at $4.86 per share on February 25, 2022, and continued to fall to $3.90 per share on March 1, 2022, or a total decline of 23.53%.
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Robert S. Willoughby
888-476-6529 ext. 7980