Notice of Lead Plaintiff Deadline for Shareholders in the HEXO Corp. Securities Class Action Lawsuit
Robbins Geller Rudman & Dowd LLP announces that a securities class action lawsuit has been filed in the Southern District of New York on behalf of purchasers of HEXO Corp. (NYSE:HEXO) common stock between January 25, 2019 and November 15, 2019 (the “Class Period”). The case is captioned Perez v. HEXO Corp., No. 19-cv-10965, and is assigned to Judge Naomi R. Buchwald. The HEXO securities class action lawsuit charges HEXO and certain of its current and former officers with violations of the Securities Exchange Act of 1934.
The Private Securities Litigation Reform Act of 1995 permits any investor who purchased HEXO common stock during the Class Period to seek appointment as lead plaintiff in the HEXO securities class action lawsuit. A lead plaintiff acts on behalf of all other class members in directing the HEXO securities class action lawsuit. The lead plaintiff can select a law firm of its choice to litigate the HEXO securities class action lawsuit. An investor’s ability to share in any potential future recovery of the HEXO securities class action lawsuit is not dependent upon serving as lead plaintiff. If you wish to serve as lead plaintiff of the HEXO securities class action lawsuit or have questions concerning your rights regarding the HEXO securities class action lawsuit, please visit our website by clicking here or contact Brian Cochran at 800/449-4900 or 619/231-1058, or via e-mail at firstname.lastname@example.org. Lead plaintiff motions for the HEXO securities class action lawsuit must be filed with the court no later than January 27, 2020.
HEXO is a licensed producer and distributor of branded cannabis products. The HEXO securities class action lawsuit alleges that during the Class Period, defendants failed to disclose that: (1) HEXO’s reported inventory was misstated, as it was failing to write down or write off obsolete product that no longer had value; (2) HEXO was engaging in channel-stuffing to inflate its revenue figures and meet or exceed revenue guidance provided to investors; (3) HEXO was cultivating cannabis at its facility in Niagara, Ontario that was not appropriately licensed by Health Canada; and (4) that, based on the foregoing, defendants’ positive statements about HEXO’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis. As a result of this information being withheld from the market, HEXO common stock traded at artificially inflated prices of more than $8.00 per share during the Class Period.