NEW YORK, Aug. 30, 2024 /PRNewswire/ -- Wolf Haldenstein Adler Freeman & Herz LLP ("Wolf Haldenstein"), a preeminent national shareholder rights litigation firm, announces that it is investigating claims on behalf of investors in WEBTOON Entertainment Inc. (NASDAQ: WBTN) ("WEBTOON" or the "Company").
WEBTOON is a global storytelling platform, where a vibrant community of creators and users discover, create, and share new content. WEBTOON empowers creators by enabling them to participate economically in their own creation, and users, by offering an endless library of content. The community connects 24 million creators with approximately 170 million monthly active users in over 150 countries around the world.
The investigation focuses on whether the Company issued false and/or misleading statements and/or did not disclose information pertinent to investors.
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On June 27, 2024, WEBTOON conducted its Initial Public Offering ("IPO"). The Company offered 15 million shares of common stock at a price of $21.00 per share and raised approximately $315 million.
On August 8, 2024, just six weeks after the Company's IPO, WEBTOON reported second quarter 2024 financial results with revenue of $321M falling short of analysts' expectations of $340.8M and barely up year-over-year.
On this news, shares of WEBTOON declined 38.1% on the same day. The Company blamed its quarterly loss on one-time IPO costs and stock-based compensation expenses. WEBTOON also blamed revenue results on exposure to weaker foreign currencies including South Korean won and the Japanese yen. For the subsequent quarter, WEBTOON forecasted revenue of $332 to $338M while analysts had projected $351M.
Wolf Haldenstein has experience in the prosecution of securities class actions and derivative litigation in state and federal trial and appellate courts across the country. The firm has attorneys in various practice areas, and offices in New York, Chicago, Nashville, and San Diego. The reputation and expertise of this firm in shareholder and other class litigation has been repeatedly lauded by the courts, which have appointed it to major positions in complex securities, multi-district and consolidated litigation.
If you wish to discuss this action or have any questions regarding your rights and interests in this case, please immediately contact Wolf Haldenstein by telephone at (800) 575-0735 or via e-mail at [email protected].
Contact:
Wolf Haldenstein Adler Freeman & Herz LLP
Gregory Stone, Director of Case and Financial Analysis
Email: [email protected] or [email protected]
Tel: (800) 575-0735 or (212) 545-4774
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SOURCE Wolf Haldenstein Adler Freeman & Herz LLP