Faruqi & Faruqi, LLP’s national practice focuses on complex civil litigation. The firm practices in the areas of Securities, Merger & Transactional, Shareholder Derivative, Antitrust, Consumer Class Action, and Wage & Hour litigation.
Monday, June 29, 2015
Faruqi & Faruqi Alert: Solazyme, Inc.
Faruqi & Faruqi, LLP Encourages Investors Who Suffered Losses In Excess Of $100,000 Investing In Solazyme, Inc. To Contact The Firm
Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in Solazyme, Inc. (“Solazyme” or the “Company”) (NASDAQ:SZYM) of the August 24, 2015 deadline to seek the role of lead plaintiff in a federal securities class action lawsuit filed against the Company and certain officers.
Pending in the United States District Court, Northern District of California, the lawsuit is on behalf of a class consisting of all persons or entities who purchased or otherwise acquired Solazyme securities pursuant and/or traceable to either of two registered public offerings between February 27, 2014 and November 5, 2014 inclusive (the “Class Period”).
The lawsuit claims that the Company and certain officers made false and misleading statements and failed to disclose material adverse information in offering documents filed with the U.S. Securities and Exchange Commission in connection with the issuance of (a) approximately $149.5 million in convertible notes on or about March 27, 2014, and (b) 5.75 million shares of common stock on the same day at $11.00 per share for aggregate gross proceeds of approximately $63.25 million.
The lawsuit also alleges that Solazyme omitted material information concerning the production capacity of its oil producing facility in Moema, Brazil throughout the Class Period. However, on November 5, 2014, the Company disclosed construction delays at the Moema Facility and that it would “narrow [its] production focus to smaller volumes of higher value products” due to continued issues generating consistent power and steam.
Following this news, the Company’s stock price declined $4.35 per share, or 58%, to close at $3.14 per share following the next trading session on November 6, 2014. Similarly, the market price of Solazyme’s Notes declined by $235.00 per Note from the prior reported trade on November 4, 2014, or more than 30%, to close at $540.00 per Note following the next session in which the Notes traded on November 7, 2014.
If you invested in Solazyme stock or options between February 27, 2014 and November 5, 2014 and would like to discuss your legal rights, please contact us by calling Richard Gonnello toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to firstname.lastname@example.org. Faruqi & Faruqi, LLP also encourages anyone with information regarding Solazyme’s conduct to contact the firm, including whistleblowers, former employees, shareholders and others.