The Law Offices of Frank R. Cruz announces that a class action lawsuit has been filed on behalf of persons and entities that purchased or otherwise acquired Wheels Up Experience Inc. (“Wheels Up” or the “Company”) (NYSE: UP) securities between November 9, 2022 and March 31, 2023, inclusive (the “Class Period”). Wheels Up investors have until June 19, 2023 to file a lead plaintiff motion.
If you are a shareholder who suffered a loss, click here to participate.
On March 31, 2023, after the market closed, Wheels Up disclosed that it was restating prior financial statements “due to the identification of errors related to a non-cash goodwill impairment charge” of $62 million that “should have been recognized during the three months ended September 30, 2022.” The Company also stated that management had determined that a material weakness existed in its internal control over financial reporting and that it has “reconsidered its assessment and now concludes that [it] did not maintain effective disclosure controls and procedures.”
On this news, Wheels Up’s stock price fell $0.072, or 11.4%, to close at $0.561 per share on April 3, 2023, thereby injuring investors.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants failed to disclose to investors that: (1) Wheels Up failed to address any material weaknesses with internal controls; (2) Wheels Up’s financial statements from September 30, 2022 to the present included “certain errors” such as understating net loss and overstating goodwill; (3) as a result, Wheels Up would need to restate its previously filed financial statements for certain periods; and (4) as a result, Defendants’ positive statements about the Company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis at all relevant times.
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If you purchased Wheels Up securities during the Class Period, you may move the Court no later than June 19, 2023 to ask the Court to appoint you as lead plaintiff. To be a member of the Class you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the Class. If you purchased Wheels Up securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Frank R. Cruz, of The Law Offices of Frank R. Cruz, 1999 Avenue of the Stars, Suite 1100, Los Angeles, California 90067 at 310-914-5007, by email to info@frankcruzlaw.com, or visit our website at www.frankcruzlaw.com. If you inquire by email please include your mailing address, telephone number, and number of shares purchased.
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View source version on businesswire.com: https://www.businesswire.com/news/home/20230420005187/en/
The Law Offices of Frank R. Cruz Announces the Filing of a Securities Class Action on Behalf of Wheels Up Experience Inc. (UP) Investors
Contacts
The Law Offices of Frank R. Cruz, Los Angeles
Frank R. Cruz, 310-914-5007
fcruz@frankcruzlaw.com
www.frankcruzlaw.com
