| COMPANY |
PLAYSTUDIOS, Inc. |
| COURT |
United States District Court for the District of Nevada |
| CASE NUMBER |
22-cv-01159 |
| JUDGE |
The Honorable Richard F. Boulware, II |
| CLASS PERIOD |
June 22, 2021 - March 1, 2022 |
| SECURITY TYPE |
Securities |
Case Background:
This is a class action lawsuit on behalf of those who: (1) purchased or acquired Playstudios, Inc. (“Playstudios”) securities (NASDAQ: MYPS; MYPSW) between June 22, 2021 and March 1, 2022, both dates inclusive (the “Class Period”) including, but not limited to, those who purchased or acquired Playstudios securities pursuant to the offering of the private investment in public equity (“PIPE” offering); (2) held common stock of Acies Acquisition Corp. (“Acies”) (NASDAQ: ACAC; ACACW) as of May 25, 2021, and were eligible to vote at Acies’ June 16, 2021 special meeting who exchanged their shares of Acies stock for shares of Playstudios stock pursuant to the merger of Acies and Old Playstudios; or (3) purchased or otherwise acquired Playstudios common stock pursuant or traceable to the Acies’ Registration Statement and Proxy Statement issued in connection with the June 2021 merger.
The truth began to be revealed on August 11, 2021, when PLAYSTUDIOS released its financial results for the second quarter of 2021 wherein PLAYSTUDIOS revealed for the first time that the Kingdom Boss launch was being delayed until later in the year and that investors should expect decreased revenues and profits during the year as a result. These quarterly financial results were finalized on June 30, 2021, just nine days after the Merger closed. Thus, defendants knew or recklessly disregarded prior to the merger close (June 21, 2021) and prior to the merger vote by the Acies shareholders (June 17, 2021), that Kingdom Boss would not be ready to launch within just a matter of weeks. Following this news, PLAYSTUDIOS stock price fell $.66 to close at $5.09 per share on August 12, 2021, a decline of 13%.
Then, on February 24, 2022, during an earnings call for the fourth quarter ended December 31, 2021, PLAYSTUDIOS’ CEO, much to investors’ surprise, disclosed that Kingdom Boss would not be launched at all. Following this news, PLAYSTUDIOS stock price fell $.24 to close at $4.86 per share on February 25, 2022, a decline of 5%. Two days later, on February 26, 2022, PLAYSTUDIOS’ CEO attributed the failure to meet the projections made for revenue and earnings to the failure to launch Kingdom Boss, and revealed that Kingdom Boss was not only delayed, but indefinitely “suspended.”
Current Status of Case:
On March 31, 2024, the Court entered an Order granting in part and denying in part Defendants’ Motion to Dismiss. Defendants filed Answers to the Complaint on May 15, 2024. This action is in the discovery phase and is ongoing.
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: Jon Naji, Esq. (484) 270-1453 or via e-mail at info@ktmc.com. If you would like additional information about the suit, please click on the link "Submit Your Information" above and fill out the form as promptly as possible.