VIACOMCBS INC. SHAREHOLDERS HAVE AN OPPORTUNITY TO RECOVER THEIR INVESTMENT LOSSES
Bernstein Liebhard LLP announces that a securities class action lawsuit has been filed on behalf of those who purchased or acquired the securities of ViacomCBS Inc. (NASDAQ: VIAC:VIACA) between March 22, 2021 and March 29, 2021. The lawsuit seeks to recover ViacomCBS Inc. shareholders’ investment losses.
If you purchased shares of ViacomCBS Inc. between March 22, 2021 and March 29, 2021 and would like to discuss your legal rights and/or options, please click “Join Class Action” above.
New York, New York — Bernstein Liebhard, a nationally acclaimed investor rights law firm, announces that a securities class action lawsuit has been filed on behalf of investors who purchased or acquired the securities of ViacomCBS Inc. (“ViacomCBS” or the “Company”) (NASDAQ: VIAC: VIACA) from March 22, 2021 through March 29, 2021 (the “Class Period”). The lawsuit filed in the United States District Court for the Southern District of New York alleges violations of the Securities Act of 1934.
According to the complaint, Defendants Goldman Sachs Group Inc. and Morgan Stanley traded while in possession of material non-public information and that: (1) Defendants obtained the material non-public information pursuant to their agreements with Archegos Capital Management’s (“Archegos”) and as a result of their serving as prime brokers of Archegos. (2) Defendants knew, recklessly disregarded, or should have known that they owed a fiduciary duty, or obligation arising from a similar relationship of trust and confidence, to Archegos to keep the information confidential. (3) Nevertheless, while in possession of material, non-public adverse information, Defendants collectively sold off billions of dollars’ worth of ViacomCBS Inc. shares.
During March 2021, Goldman Sachs and Morgan Stanley confidentially learned that the family office Archegos had failed or was likely to fail to meet a margin call, requiring Archegos to liquidate its position in Viacom. Trading on this non-public information, Goldman Sachs and Morgan Stanley avoided billions of dollars in losses on their Viacom investments by selling Company securities in late March 2021 before the market learned of Archegos’s difficulties. When this information reached the market, the price of ViacomCBS securities fell sharply, damaging Company investors.
According to subsequent media reports, Defendants unloaded large block trades consisting of shares of Archegos’ doomed bets, including billions worth of ViacomCBS securities, late Thursday, March 25, 2021, before the Archegos story reached the public, sending ViacomCBS’s stock into a complete tailspin. Defendants avoided billions in losses combined.
On this news, shares of ViacomCBS Inc. stock fell over 50% during the week of March 22, 2021 to March 29, 2021.
If you wish to serve as lead plaintiff, you must move the Court no later than December 28, 2021. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. Your ability to share in any recovery doesn’t require that you serve as lead plaintiff. If you choose to take no action, you may remain an absent class member.
Since 1993, Bernstein Liebhard LLP has recovered over $3.5 billion for its clients. In addition to representing individual investors, the Firm has been retained by some of the largest public and private pension funds in the country to monitor their assets and pursue litigation on their behalf. As a result of its success litigating hundreds of lawsuits and class actions, the Firm has been named to The National Law Journal’s “Plaintiffs’ Hot List” thirteen times and listed in The Legal 500 for ten consecutive years.
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