SAN FRANCISCO, Sept. 09, 2015 (GLOBE NEWSWIRE) -- Hagens Berman Sobol Shapiro LLP, a national investor-rights law firm, reminds investors of the September 29, 2015 lead plaintiff deadline in the securities fraud class action lawsuit filed against MDC Partners, Inc. (NASDAQ:MDCA) (“MDC” or “the Company”). If you have losses in MDC Class A subordinate voting shares during the Class Period, contact Hagens Berman Partner Reed Kathrein, who is leading the firm’s investigation, by calling (510) 725-3000, emailing MDCA@hbsslaw.com or visiting http://hb-securities.com/investigations/MDCA.
The lawsuit, pending in U.S. District Court for the Southern District of New York, is filed on behalf of investors who purchased MDC Class A subordinate voting shares between September 24, 2013 and April 27, 2015, inclusive, (the “Class Period”).
The complaint alleges that MDC's SEC filings materially understated the Company's executive compensation while its financial statements failed to disclose certain related party transactions. The complaint also claims that they materially overstated the value of the Company’s goodwill.
On April 27, 2015 MDC announced its financial results for the period ended March 31, 2015. First, the Company disclosed that the SEC was conducting a formal investigation into the Company's reporting of executive compensation and goodwill. The Company also announced the creation of a Special Committee to conduct an internal investigation into the reimbursement of expenses purportedly incurred by defendant Miles Nadal, MDC's Chairman, CEO, and President during the Class Period. As a result, the Class A subordinate voting shares 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.
If you have significant losses in MDC Class A subordinate voting shares between September 24, 2013 and April 27, 2015, and would like to learn more about this lawsuit and your ability to participate as a lead plaintiff, please contact us for your no-cost evaluation.
Whistleblowers: Persons with non-public information regarding MDC should consider their options to help in the investigation or take advantage of the SEC Whistleblower program. Under the new SEC whistleblower program, whistleblowers who provide original information may receive rewards totaling up to 30 percent of any successful recovery made by the SEC. For more information, call Reed Kathrein at (510) 725-3000 or email MDCA@hbsslaw.com.
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