The Law Offices of Frank R. Cruz Reminds Investors of Looming Deadline in the Class Action Lawsuit Against Credit Suisse Group AG (CS)
The Law Offices of Frank R. Cruz reminds investors of the upcoming May 8, 2023 deadline to file a lead plaintiff motion in the class action filed on behalf of investors who acquired Credit Suisse Group AG (“Credit Suisse” or the “Company”) (NYSE: CS) securities between February 18, 2021 and March 20, 2023, inclusive (the “Class Period”).
If you are a shareholder who suffered a loss, click here to participate.
On February 9, 2023, Credit Suisse released its 2022 financial results, reporting customer outflows of 110.5 billion Swiss francs in the final three months of 2022. On this news, Credit Suisse’s ADS price fell $0.56, or 15.6%, to close at $3.02 per ADS on February 9, 2023.
Then, on February 21, 2023, Reuters reported that Credit Suisse’s Chairman Axel Lehmann was facing a probe regarding comments made during an interview in early December, in which he claimed that customer outflows had “basically stopped.”
On this news, Credit Suisse’s ADS price fell $0.10, or 3.3%, to close at $2.92 per ADS on February 21, 2023, thereby injuring investors.
On March 14, 2023, the Company filed its 2022 Annual Report, revealing that it had identified material weaknesses in the Company’s internal controls over financial reporting which resulted in the revision of previously issued financial statements for 2021 and 2020.
On March 15, 2023, Reuters reported that Saudi National Bank would not buy any more of Credit Suisse’s shares on regulatory grounds. On this news, Credit Suisse’s stock price fell $0.35, or 13.9%, to close at $2.16 per ADS on March 15, 2023.
Then, on March 20, before market hours, Credit Suisse announced a merger agreement with UBS, stating that “UBS will be the surviving entity upon closing of the merger transaction” and that all Credit Suisse shareholders would receive 1 share in UBS per 22.48 shares in Credit Suisse.
On this news, Credit Suisse’s stock price fell $1.04, or 53.2%, to close at $0.94 per ADS on March 20, 2022, thereby injuring investors further.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) contrary to Defendant Lehmann’s representations in December 2022, the sharp increase in customer outflows Credit Suisse began experiencing in October 2022 remained ongoing; (2) accordingly, Credit Suisse had downplayed the impact of the Company’s recent series of quarterly losses and risk and compliance failures on liquidity and its ability to retain client funds; (3) as a result, Credit Suisse had overstated the Company’s financial position and/or prospects; (4) the Company was experiencing material weaknesses with internal controls; and (5) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
Follow us for updates on Twitter: twitter.com/FRC_LAW.
If you purchased or otherwise acquired Credit Suisse securities during the Class Period, you may move the Court no later than May 8, 2023 to request appointment as lead plaintiff in this putative class action lawsuit. To be a member of the class action 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 action. If you wish to learn more about this class action, or if you have any questions concerning this announcement or your rights or interests with respect to the pending class action lawsuit, 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 firstname.lastname@example.org, 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.
This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.