Chinese Beauty Retailer Ditches Securities Class Action

Law360, San Francisco (January 10, 2017, 10:30 PM EST) -- A New York federal judge on Tuesday nixed a putative securities class action alleging Chinese beauty retailer Jumei and its underwriters — including Goldman Sachs, Credit Suisse and J.P. Morgan — misled investors, finding the class hadn’t proved the company planned to close its online marketplace when it drafted its disclosures.

The investors had alleged Jumei’s registration statement for its 2014 initial public offering of American depository shares was misleading because it didn’t mention Jumei would soon wind down the marketplace hosted on its website that...
To view the full article, register now.