Publicly available records indicate that a class action lawsuit has been filed on behalf of investors in Cronos Group (NASDAQ:CRON) in connection to alleged violations of securities laws by CRON. Fitapelli Kurta is interested in speaking to investors who have complaints regarding investments made in Cronos Group between August 21, 2018 and August 30, 2018.
The class action complaint specifically alleges that during the period in question, CRON might have provided false and/or misleading material information, and/or failed to disclose adverse material information to the public, namely: that its distribution agreements with Canadian provinces, which it announced on August 21, 2018, were relatively small; and that consequently the positive statements it made to the public regarding its business, operations and prospects were false and/or misleading and/or had no reasonable basis. When Citron Research published a report on August 30, 2018, alleging that the company had participated in “deceiving the investing public by purposely not disclosing the size of its distribution agreements with provinces” which the report said were “so small that they could never justify the premium investors are paying for the stock,” shares in Cronos fell $3.62/share, or more than 28%, and closed at $9.12/share on August 30, 2018. The complaint alleges that when true details emerged, investors suffered losses.
According to the company’s website, Cronos Group is a “geographically diversified and vertically integrated cannabis group that operates within Canada’s Access to Cannabis for Medical Purposes Regulations” and which distributes its products globally. The company states that its mission is to build “industry leading companies” to transform public perception of cannabis, to “responsibly elevate the consumer experience,” and to “establish the most valuable international cannabis community.” It trades on the Nasdaq exchange under the symbol CRON.
A class action lawsuit has already been filed in connection with Cronos Group. If you wish to serve as lead plaintiff in the CRON lawsuit, you must move the Court no later than November 5, 2018. If you wish to join the litigation, please contact Marc Fitapelli at 212-658-1501 or Jonathan Kurta at 212-658-1502. There is no cost or obligation to you and your ability to share in any recovery does not require that you serve as a lead plaintiff.