NEW YORK, July 31, 2015 /PRNewswire/ -- Robbins Geller
Rudman & Dowd LLP ("Robbins Geller")
(http://www.rgrdlaw.com/cases/mdc/) today announced that a class
action has been commenced on behalf of an institutional investor in
the United States District Court for the Southern District of
New York on behalf of purchasers
of MDC Partners, Inc. ("MDC" or the "Company") (NASDAQ:MDCA) common
stock during the period between September
24, 2013 and April 27, 2015
(the "Class Period").
If you wish to serve as lead plaintiff, you must move the Court
no later than 60 days from today. If you wish to discuss this
action or have any questions concerning this notice or your rights
or interests, please contact plaintiff's counsel, Samuel H. Rudman
or David A. Rosenfeld of Robbins Geller at 800/449-4900 or
619/231-1058, or via e-mail at djr@rgrdlaw.com. If you are a
member of this class, you can view a copy of the complaint as filed
or join this class action online at
http://www.rgrdlaw.com/cases/mdc/. Any member of the putative
class may move the Court to serve as lead plaintiff through counsel
of their choice, or may choose to do nothing and remain an absent
class member.
The complaint charges MDC and certain of its officers and
directors with violations of the Securities Exchange Act of
1934. MDC is a holding company that provides a comprehensive
range of customized marketing, activation, communications and
consulting services via its subsidiaries.
The complaint alleges that during the Class Period, defendants
made or caused to be made a series of materially false or
misleading statements about MDC's business, executive compensation,
related-party transactions, goodwill, prospects and
operations. These material misstatements and omissions had
the cause and effect of creating in the market an unrealistically
positive assessment of MDC and its business, prospects and
operations, thus causing the Company's common stock to be
overvalued and artificially inflated. As a result, MDC common
stock traded at artificially inflated prices and the investing
public suffered damages.
On April 27, 2015, after the close
of trading, MDC issued a press release announcing its financial
results for the period ended March
31, 2015. The press release also reported that the
Securities and Exchange Commission had been conducting a formal
investigation into the Company's reporting of executive
compensation and goodwill. In response to these revelations,
the price of MDC common stock, which traded near the Class Period
high of $28.65 per share on the last
day of the Class Period, plummeted 27.8%, or $7.78 per share, from $27.98 per share on April
27, 2015 to close at $20.20
per share on April 28, 2015.
Plaintiff seeks to recover damages on behalf of all purchasers
of MDC common stock during the Class Period (the "Class").
The plaintiff is represented by Robbins Geller, which has extensive
experience in prosecuting investor class actions including actions
involving financial fraud.
Robbins Geller, with 200 lawyers in ten offices, represents U.S.
and international institutional investors in contingency-based
securities and corporate litigation. The firm has obtained
many of the largest securities class action recoveries in history
and was ranked first in both the amount and number of shareholder
class action recoveries in ISS's SCAS Top 50 report for
2014. Please visit http://www.rgrdlaw.com/cases/mdc/ for more
information.
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SOURCE Robbins Geller Rudman & Dowd LLP