SHAREHOLDER ALERT: Pomerantz Law Firm Announces the Filing of a Class Action
Against Montage Technology Group Ltd. and Certain Officers -- MONT
NEW YORK, Feb. 21, 2014 (GLOBE NEWSWIRE) -- Pomerantz LLP has filed a class
action lawsuit against Montage Technology Group Ltd. ("Montage" or the
"Company") (Nasdaq:MONT) and certain of its officers. The class action, filed
in United States District Court, Southern District of New York, and docketed
under 14-cv-1105, is on behalf of a class consisting of all persons or
entities who purchased or otherwise acquired Montage securities between
September 25, 2013 and February 6, 2014 both dates inclusive (the "Class
Period"). This class action seeks to recover damages against Defendants for
alleged violations of the federal securities laws pursuant to Sections 10(b)
and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated
If you are a shareholder who purchased Montage securities during the Class
Period, you have until April 8, 2014 to ask the Court to appoint you as Lead
Plaintiff for the class. A copy of the Complaint can be obtained at
www.pomerantzlaw.com. To discuss this action, contact Robert S. Willoughby at
firstname.lastname@example.org or 888.476.6529 (or 888.4-POMLAW), toll free, x237.
Those who inquire by e-mail are encouraged to include their mailing address,
telephone number, and number of shares purchased.
Montage Technology Group Limited, through its subsidiaries, designs, develops,
and markets various analog and mixed-signal semiconductor solutions for the
home entertainment and cloud computing markets. Montage was founded in 2004
and is based in Shanghai, the People's Republic of China.
The Complaint alleges that throughout the Class Period, Defendants made false
and/or misleading statements, and failed to disclose material adverse facts
about the Company's business, operations, prospects and performance.
Specifically, during the Class Period, Defendants made false and/or misleading
statements and/or failed to disclose that (i) the Company's largest
distributor, LQW, which contributed most of the Company's sales revenue, was
created and controlled by the Company; (ii) reported sales to LQW were
fabricated; (iii) Montage's revenue was overstated; and (iv) as a result of
the above, the Company's financial statements were materially false and
misleading at all relevant times.
On February 6, 2014, short-seller Gravity Research issued a report claiming
that Montage had manipulated its financial statements, fabricated profits,
artificially inflated gross margins, and exaggerated revenue growth by falsely
reporting sales to a distributor, LQW, which Montage itself created and still
maintains controls over.
On this news, Montage securities declined $3.76 per share on heavy volume or
almost 18%, to close at $17.45 per share on February 6, 2014. On the next day
of trading, shares of Montage continued to decline further, dropping $1.73 per
share or almost 10% to close at $15.72 on February 7, 2012.
The Pomerantz Firm, with offices in New York, Chicago, Florida, and San Diego,
is acknowledged as one of the premier firms in the areas of corporate,
securities, and antitrust class litigation. Founded by the late Abraham L.
Pomerantz, known as the dean of the class action bar, the Pomerantz Firm
pioneered the field of securities class actions. Today, more than 70 years
later, the Pomerantz Firm continues in the tradition he established, fighting
for the rights of the victims of securities fraud, breaches of fiduciary duty,
and corporate misconduct. The Firm has recovered numerous multimillion-dollar
damages awards on behalf of class members. See www.pomerantzlaw.com.
CONTACT: Robert S. Willoughby
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