EZCORP, Inc. investors may receive additional information about the case by clicking the link "Join this Class Action" above.
According to the complaint, EZCORP delivers cash solutions to customers across channels, products, services and markets. EZCORP owns a 76% interest in Prestaciones Finmart, S.A.P.I. de C.V., SOFOM, E.N.R. (“Grupo Finmart” doing business under the names “Crediamigo” and “Adex”), a payroll withholding lender headquartered in Mexico City.
The complaint alleges that throughout the Class Period, the defendants made false and/or misleading statements, and failed to disclose material adverse facts about EZCORP’s business, operations, and prospects.
The Class Period begins on October 27, 2014, when EZCORP issued a press release entitled, “EZCORP Provides Earnings Update And Schedules Earnings Announcement.” On April 30, 2015, after the market closed, EZCORP announced that it would delay its earnings release for the second quarter of fiscal 2015, due to an ongoing review of certain elements of its Grupo Finmart loan portfolio. According to the complaint, certain errors had been identified in a portion of the Grupo Finmart loan portfolio that could impact current and historical amounts of loan reserves and interest income. Following this news, shares of EZCORP declined $0.79 per share, over 8%, to close on May 1, 2015, at $8.41 per share, on unusually heavy volume.
On May 20, 2015, after the market closed, EZCORP revealed that, while the review of the Grupo Finmart loan portfolio was still ongoing, management and the Audit Committee would likely conclude that the company had a material weakness in internal control over financial reporting and deficiencies in its disclosure controls and procedures. Following this news, shares of EZCORP declined $0.66 per share, over 7%, to close on May 21, 2014, at $8.33 per share, on unusually heavy volume.
Finally, on July 17, 2015, EZCORP announced that it would restate its financial statements for fiscal 2014 and the first quarter of fiscal 2015, and that the previously issued financial statements for those periods should no longer be relied upon. Following this news, shares of EZCORP declined $0.26 per share, nearly 4%, to close on July 17, 2015, at $6.48 per share, on unusually heavy volume.
If you are a member of the class described above, you may no later than September 17, 2015, move the Court to serve as lead plaintiff of the class, if you so choose.
A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. Any member of the purported class may move the court to serve as a lead plaintiff through counsel of their choice, or may choose to do nothing and remain an inactive class member.
Kessler Topaz Meltzer & Check, LLP has not filed a complaint in this matter. If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Kessler Topaz Meltzer & Check, LLP.
Kessler Topaz Meltzer & Check, LLP
James Maro, Esq.
Adrienne Bell, Esq.
280 King of Prussia Road
Radnor, PA 19087
1-888-299-7706 (toll free) or 1-610-667-7706