Glancy Prongay & Murray LLP Reminds Investors Of Looming Deadline In The Class Action Lawsuit Against Dada Nexus Limited (DADA)


(MENAFN- GlobeNewsWire - Nasdaq) LOS ANGELES, Feb. 13, 2024 (GLOBE NEWSWIRE) -- Glancy Prongay & Murray LLP (“GPM”) reminds investors of the upcoming March 11, 2024 deadline to file a lead plaintiff motion in the class action filed on behalf of investors who purchased or otherwise acquired Dada Nexus Limited (“Dada” or the“Company”) (NASDAQ: DADA ) securities between May 11, 2023 and January 8, 2024 , inclusive (the“Class Period”).

If you suffered a loss on your Dada investments or would like to inquire about potentially pursuing claims to recover your loss under the federal securities laws, you can submit your contact information at . You can also contact Charles H. Linehan, of GPM at 310-201-9150, Toll-Free at 888-773-9224, or via email at ... to learn more about your rights.

On December 19, 2023, Dada issued a press release announcing that its Chairman of the Board, Lijun Xin, as well as its CFO, Beck Zhaoming Chen, would both be stepping down from their roles due to personal reasons.

Then, on January 8, 2024, Dada disclosed that an internal audit had identified“certain suspicious practices” that“may cast doubt on certain revenues from the Company's online advertising and marketing services in 2023.” The Company estimated that“approximately RMB500 million of revenues from online advertising and marketing services and RMB500 million of operations and support costs may have been overstated, respectively, for the first three quarters of 2023.” Additionally, the Company advised that its previously stated revenue guidance for the fourth quarter and full year of 2023 should“no longer be relied upon.”

On this news, Dada's stock price fell $1.45, or 45.9%, to close at $1.71 per share on January 8, 2024, 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 that: (1) Dada revenues from online advertising, marketing services, and operations and support costs were materially overstated; (2) as a result, Dada would need to conduct an independent review to ascertain the financial impact and the scope of suspicious practices that led to overstated revenues and costs; and (3) as a result, Defendants' positive statements about the Company's business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.

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If you purchased or otherwise acquired Dada securities during the Class Period, you may move the Court no later than March 11, 2024 to request appointment as lead plaintiff in this putative class action lawsuit. 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 the pending class action lawsuit, please contact Charles Linehan, Esquire, of GPM, 1925 Century Park East, Suite 2100, Los Angeles, California 90067 at 310-201-9150, Toll-Free at 888-773-9224, by email to ... , or visit our website at . If you inquire by email please include your mailing address, telephone number and number of shares purchased.

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.

Contacts
Glancy Prongay & Murray LLP, Los Angeles
Charles Linehan, 310-201-9150 or 888-773-9224
...


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