Press release from Business Wire
Wohl & Fruchter Files Securities Class Action Against Zynga Inc.
Thursday, August 02, 2012
Wohl & Fruchter Files Securities Class Action Against Zynga Inc.22:45 EDT Thursday, August 02, 2012 NEW YORK (Business Wire) -- The law firm of Wohl & Fruchter LLP announces that it has filed a class action on behalf of investors against Zynga Inc. (Zynga) (NASDAQ: ZNGA) and certain of its officers. The class action is based on false statements and omissions concerning Zynga's financial condition and prospects. If you purchased Zynga shares before July 26, 2012 and wish to serve as a lead plaintiff, you have until October 1, 2012 to seek appointment by the Court. To discuss the case or learn more about becoming a lead plaintiff, please contact J. Elazar Fruchter at firstname.lastname@example.org, or call us toll free at 866.582.8140. A copy of the complaint filed by Wohl & Fruchter can be obtained at: http://www.wohlfruchter.com/cases/znga. As alleged in the complaint filed by Wohl & Fruchter, Zynga issued positive financial forecasts between February and April 2012 that were not justified in light of the company's financial performance and trends. The positive forecasts enabled senior executives and selected investors to sell nearly $600 million of Zynga shares at inflated prices in early April 2012. This sale occurred approximately two months before the lock-up period previously agreed to by Zynga executives was scheduled to expire. Zynga's share price subsequently declined by more than 50%. On July 25, 2012, Zynga announced sharply lower earnings and a sharply reduced outlook for the second half of 2012. In response, Zynga shares lost more than one-third of their value, closing at $3.18 on July 26, 2012. The class action filed by Wohl & Fruchter seeks damages for investors who purchased Zynga shares on the grounds that Zynga's share price was artificially inflated as a result of the defendants' false statements and omissions. Wohl & Fruchter LLP is an experienced securities litigation firm representing plaintiffs in class actions arising from fraud and other fiduciary breaches by corporate managers, as well as other complex litigation matters. Please visit our website, www.wohlfruchter.com, to learn more about our Firm, or contact one of our partners. This release may be deemed to constitute attorney advertising. Wohl & Fruchter LLPJ. Elazar Fruchter, 212-758-4000Toll Free: 866-582-8140www.wohlfruchter.com