Cohen Milstein Sellers & Toll PLLC is conducting an investigation to determine whether Active Power, Inc. (“Active Power” or the “Company”) and certain of its officers and directors made false and misleading statements and/or omissions in violation of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934.
A class action lawsuit was filed in the U.S. District Court for the Western District of Texas by another law firm on behalf of purchasers of the common stock of Active Power, Inc. (ACPW) between April 30, 2013 and September 5, 2013, inclusive (the “Class Period”).
The complaint alleges that Active Power and certain of its officers and directors (“Defendants”) made false and misleading statements concerning the Company’s relationship with Digital China Information Service Company Limited (“Digital China”), a Fortune China 100 company, and concerning the Company’s future outlook.
The claims in this case arise from the Company’s recent admission that, contrary to its announcement at the start of the Class Period that it had entered into a distribution relationship with Digital China, China’s largest IT solutions provider, in fact it had entered into an agreement with a different, wholly unrelated entity and as a result, would not achieve the financial guidance it issued during the Class Period. The Class Period ends on September 5, 2013, when the Company retracted its third quarter guidance, primarily due to lower sales in China, explaining in part that:
“The lower than expected sales in China are due to disappointing results from the company’s distribution relationship in China. The company previously announced in error that a partnership agreement with Digital China Information Service Company Limited was entered into on April 30, 2013. However, the company’s previously announced agreement in China is with Qiyuan Network System Limited, which the company’s management discovered is neither an affiliate nor a subsidiary of Digital China Information Service Company Limited.”
The price of Active Power shares fell from $3.50 to $3.02 on September 6.
Cohen Milstein encourages all investors who purchased Active Power common stock between April 30, 2013 and September 5, 2013 or former employees with information concerning this matter to contact the firm.
If you are an Active Power shareholder and would like to discuss your right to recover for your economic loss, you may, without any cost or obligation, call Cohen Milstein’s Managing Partner, Steven J. Toll at (888) 240-0775 or (202) 408-4600, or email him at email@example.com. If you wish to serve as lead plaintiff, you must move the Court no later than November 11, 2013 to request that the Court appoint you as lead plaintiff. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. To be appointed lead plaintiff, the Court must decide that your claim is typical of the claims of other class members, and that you will adequately represent the class. Your share in any recovery will not be enhanced or diminished by the decision whether or not to serve as a lead plaintiff. Any member of the proposed class may retain Cohen Milstein Sellers & Toll PLLC or other attorneys to serve as your counsel in this action, or you may do nothing and remain an absent class member.
Cohen Milstein Sellers & Toll PLLC has significant experience in prosecuting investor class actions and actions involving securities fraud. The firm has offices in Washington, D.C., New York, Chicago, Philadelphia and Palm Beach Gardens, and is active in major litigation pending in federal and state courts throughout the nation.
The firm’s reputation for excellence has repeatedly been recognized by courts which have appointed the firm to lead positions in complex multi-district or consolidated litigation. Cohen Milstein Sellers & Toll PLLC has taken a lead role in numerous important cases on behalf of defrauded investors, and has been responsible for a number of outstanding recoveries which, in the aggregate, total over one billion dollars. Prior results do not guarantee a similar outcome. For more information visit www.cohenmilstein.com.
If you have any questions about this notice or the action, or with regard to your rights, please contact either of the following:
Steven J. Toll, Esq.
Cohen Milstein Sellers & Toll PLLC
1100 New York Avenue, N.W.
West Tower, Suite 500
Washington, D.C. 20005
Telephone: (888) 240-0775 or (202) 408-4600
Email: firstname.lastname@example.org; email@example.com
- Company Legal & Law Matters
- Investment & Company Information