The Law Offices of Frank R. Cruz announces that a class action lawsuit has been filed on behalf of persons and entities that purchased or otherwise acquired Grand Canyon Education, Inc. ("Grand Canyon" or the "Company") (NASDAQ: LOPE) common stock between January 5, 2018 and January 27, 2020, inclusive (the "Class Period"). Grand Canyon investors have until July 13, 2020 to file a lead plaintiff motion.
If you are a shareholder who suffered a loss, click here to participate.
On January 28, 2020, Citron Research published a report alleging, among other things, that Grand Canyon was improperly using a "captive, non-reporting subsidiary to hide its liabilities," thereby "artificially inflat[ing] the [company’s] stock price."
On this news, the Company’s share price fell $7.43, or over 8%, to close at $84.07 per share on January 28, 2020, thereby injuring investors.
The complaint alleges that defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose: (1) that GCU was not a proper non-profit organization as it remained under the control of Grand Canyon, (2) that Grand Canyon was not a third-party service provider to GCU but rather continued to effectively operate the entity, (3) that Grand Canyon employees served as executives of GCU, and (4) that GCU functioned as an off-balance-sheet entity to which Grand Canyon was able to funnel expenses and costs in exchange for a disproportionate amount of revenue, thereby inflating Grand Canyon’s financial results.
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If you purchased Grand Canyon securities during the Class Period, you may move the Court no later than July 13, 2020 to ask the Court to appoint you as lead plaintiff. To be a member of the Class you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the Class. If you purchased Grand Canyon securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Frank R. Cruz, of The Law Offices of Frank R. Cruz, 1999 Avenue of the Stars, Suite 1100, Los Angeles, California 90067 at 310-914-5007, by email to email@example.com, or visit our website at www.frankcruzlaw.com. If you inquire by email please include your mailing address, telephone number, and number of shares purchased.
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