Levi & Korsinsky announces the filing of a class action lawsuit in the United States District Court for the Southern District of New York on behalf of shareholders of AirMedia Group Inc. (NASDAQ: AMCN) who purchased American Depositary Receipts between April 15, 2015 and June 15, 2015.
The complaint alleges that the Company made false statements regarding the sale of a 5% interest in AirMedia’s advertising subsidiary, AirMedia Group Co., Ltd. to Shenzhen Liantronics Co. Ltd., and the negotiated valuation of the subsidiary. Specfically, the complaint alleges, AirMedia announced that the deal “reflected the total valuation of AM Advertising of RMB3 billion,” or $500 million; then the Company allegedly made additional statements claiming that RMB3 billion/$500 million was a solid valuation of the AM Advertising subsidiary. Then on June 15, 2015, the Company announced that it entered into an agreement to sell a 75% interest in AM Advertising for RMB2.1 billion/$344.4 million, significantly less than the purported value the Company claimed. Upon this news, AirMedia ADRs fell more than 50% over the following two days. If you suffered a loss in AirMedia you have until August 24, 2015 to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn’t require that you serve as a lead plaintiff.
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