BENSALEM, Pa., Oct. 16, 2019 (GLOBE NEWSWIRE) -- Law Offices of Howard G. Smith reminds investors of the upcoming November 26, 2019 deadline to file a lead plaintiff motion in the class action filed on behalf of investors who purchased Waitr Holdings, Inc. (“Waitr” or the “Company”) ( WTRH) securities between May 17, 2018 and August 8, 2019, inclusive (the “Class Period”).
Investors suffering losses on their Waitr investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to [email protected].
On August 8, 2019, after the market closed, the Company revealed that its Chief Executive Officer had resigned; that the integration of BiteSquad.com, LLC, which Waitr had acquired in January 2019, was not proceeding according to plan; and that the Company was laying off personnel.
On this news, the Company’s share price fell $1.87, or roughly 50% to close at $1.89 per share on August 9, 2019, thereby injuring investors.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) that Defendants had artificially bolstered profits and revenues by unilaterally raising prices in breach of customer contracts and failed to properly reimburse drivers for expenses; (2) that providing services at the low take rate of 15% was not sustainable; (3) that its labor model was inefficient and resulted in rising, unsustainable costs; (4) that its financial statements were not true, accurate or reliable; and (5) that the Company’s software provided little or no competitive advantages.
If you purchased Waitr securities during the Class Period you may move the Court no later than November 26, 2019 to ask the Court to appoint you as lead plaintiff if you meet certain legal requirements. To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. If you wish to learn more about this class action, 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 [email protected], or visit our website at www.howardsmithlaw.com.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.
Contacts
Law Offices of Howard G. Smith
Howard G. Smith, Esquire
215-638-4847
888-638-4847
[email protected]
www.howardsmithlaw.com
