Scott+Scott Attorneys at Law LLP Files Securities Class Action Against Yatsen Holding Limited (NYSE: YSG)
Sep 23rd, 2022 17:18 EST
NEW YORK--(BUSINESS WIRE)--Scott+Scott Attorneys at Law LLP (“Scott+Scott”), an international shareholder and consumer rights litigation firm, has filed a securities class action lawsuit against Yatsen Holding Limited (NYSE: YSG) (“Yatsen” or the “Company”), its U.S. representatives, its controlling shareholder, certain Yatsen directors and officers, and the underwriters of Yatsen’s November 2020 initial public offering (“IPO”), alleging violations of §§11, 12 and 15 of the Securities Act of 1933, as well as §§10, 20(A) and 20(a) of the Exchange Act of 1934, including U.S. Securities and Exchange Commission (“SEC”) Rule 10b-5 promulgated thereunder. If you purchased Yatsen American Depository Shares (“ADS”) between November 19, 2020 and March 10, 2022 (the “Class Period”), including in, pursuant to, and/or traceable to the Company’s IPO on or about November 19, 2020, you are encouraged to contact Scott+Scott attorney Jonathan Zimmerman at (888) 398-9312 for more information.
Yatsen operates in the Chinese cosmetics market, generating substantially all of its net revenue from the sale of beauty products under the Perfect Diary and Little Ondine brands.
According to the complaint filed in the Southern District of New York, during the Class Period, including in the registration statement and prospectus used to effectuate the Company’s IPO, Yatsen and the other named defendants misled investors into believing that Perfect Diary and Little Ondine were thriving, thereby driving Yatsen’s “healthy” top-line growth at the time of its IPO and quarter after quarter thereafter. In truth, however, cosmetic and skincare sales of Perfect Diary and Little Ondine products were declining in the period leading up to (and including at the time of) the IPO and throughout 2021. Moreover, as the truth about Yatsen’s business reached the market, the value of the Company’s shares declined dramatically, causing Yatsen investors to suffer significant damages. By the commencement of the action, Yatsen’s shares traded as low as $0.39 per ADS, representing a decline of over 96% from the $10.50 IPO offering price.
Lead Plaintiff Deadline
The case was filed today in the Southern District Court of New York (Case No. 1:22-cv-08165). The Lead Plaintiff deadline in this action is November 22, 2022. Any member of the proposed Class may seek to serve as Lead Plaintiff through counsel of their choice, or may choose to do nothing and remain a member of the proposed Class.
What You Can Do
If you purchased Yatsen ADS during the Class Period, or if you have questions about this notice or your legal rights, you are encouraged to contact attorney Jonathan Zimmerman at (888) 398-9312 or [email protected].
About Scott+Scott Attorneys at Law LLP
Scott+Scott has significant experience in prosecuting major securities, antitrust, and consumer rights actions throughout the United States. The firm represents pension funds, foundations, individuals, and other entities worldwide with offices in New York, London, Amsterdam, Connecticut, California, Virginia, and Ohio.