A class action complaint on behalf of Argo Blockchain plc investors has been filed, according to the shareholder rights law firm Johnson Fistel, LLP. Investors who purchased Argo: American Depository Shares (“ADSs”) pursuant and traceable to the Offering Documents issued in connection with the Company’s initial public offering (the “IPO” or “Offering”) conducted on or about September 23, 2021; and Argo securities between September 23, 2021, and October 10, 2022, both dates inclusive (the “Class Period”) are the target of the class action.
What laws were broken here?
Investors have been given notice that they have until March 27, 2023, to request permission from the court to participate as the case’s lead plaintiff. According to the lawsuit, the Offering Documents were not produced in compliance with the norms and regulations regulating their production and contained untrue representations of a material fact or omitted to mention additional information essential to make the assertions made not misleading.Â
Furthermore, throughout the Class Period, Defendants made materially false and deceptive claims about the Company’s operations, business, and future prospects. Specifically, Argo was very sensitive and had substantial financial restrictions, power and other costs, and network issues; the Offering Documents and Defendants made false and/or misleading claims and/or failed to disclose these facts.
Argo’s problems
The aforementioned problems prevented Argo from being able to mine Bitcoin, carry out its business plan, fulfill its commitments, and operate its Helios facility, among other things; as a result, Argo’s business was less sustainable than Defendants had led investors to believe; as a result, Argo’s business and financial prospects were exaggerated.
The Argo class-action case will be managed by a lead plaintiff on behalf of all other class members. To represent the class in the class-action case, the lead plaintiff is free to choose the legal team. It is not necessary to be the lead plaintiff in order for investors to benefit in any potential future Argo class action settlement.
