Kuznicki Law PLLC notifies investors that a class action has commenced in the United States District Court for the Southern District of New York on behalf of shareholders of Hut 8 Corp. who purchased shares between November 9, 2023 and January 18, 2024.
Hut 8 and certain of its executives are charged with failing to disclose material information during the Class Period, violating federal securities laws.
On January 18, 2024, a report by J Capital Research highlighted many purported misstatements by the Company relating to its merger with U.S. Data Mining Group, Inc., doing business as U.S. Bitcoin Group (USBTC), in November of 2023 including (1) that an “undisclosed related party” was one of the major shareholders of USBTC, (2) that one of USBTC’s core assets, the King Mountain JV, “has historically failed to provide energy and high-speed internet,” and (3) that the Company had misstated certain finances of the King Mountain JV by failing to account for certain interest expenses.
On this news, the price of Hut 8’s shares fell $2.16, or 23.3%, to close at $7.12 per share on January 18, 2024, on unusually heavy trading volume.
If you wish to choose counsel to represent you and the class, you must apply to be appointed lead plaintiff and be selected by the Court. The lead plaintiff will direct the litigation and participate in important decisions including whether to accept a settlement for the class in the action. The lead plaintiff will be selected from among applicants claiming the largest loss from investment in the respective securities during the class periods. Members of the class will be represented by the lead plaintiff and counsel chosen by the lead plaintiff. No class has yet been certified in the above action. Appointment as Lead Plaintiff is not required to partake in any recovery.
Shareholders have until April 8, 2024 to request that the court appoint them lead plaintiff.