SHAREHOLDER ALERT: Regulation agency Pomerantz reminds shareholders who suffered losses on their funding in Virgin Galactic Holdings, Inc. of sophistication motion and upcoming deadline

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New York, New York – (Newsfile Corp. – June 5, 2021) – Pomerantz LLP proclaims {that a} class motion lawsuit has been filed in opposition to Virgin Galactic Holdings, Inc. (“Virgin Galactic” or the “Firm”) (NYSE: SPCE ) and a few of its leaders. The category motion swimsuit, filed in america District Court docket for the Japanese District of New York, and registered as 21-cv-03070, is within the title of a bunch consisting of all individuals and entities aside from the defendants who bought or in any other case acquired Virgin Galactic between October 26, 2019 and April 30, 2021, each dates inclusive (the “Class Interval”), searching for to get well damages attributable to the Defendants in violation of federal securities legal guidelines and to train treatments underneath sections 10 (b) and 20 (a) of the Securities Alternate Act of 1934 (the “Alternate Act”) and rule 10b-5 promulgated thereunder, in opposition to the Firm and sure of its senior officers.

If you’re a shareholder who bought Virgin Galactic securities through the Class Interval, you’ve got till July 27, 2021 to ask the court docket to nominate you as the first claimant for the Class Motion. A replica of the criticism could be obtained at www.pomerantzlaw.com. To debate this motion, contact Robert S. Willoughby at [email protected] or 888.476.6529 (or 888.4-POMLAW), toll free, Ext. 7980. These inquiring by e-mail are inspired to offer their mailing handle, phone quantity and the variety of shares bought.

[Click here for information about joining the class action]

Virgin Galactic is an built-in aerospace firm growing manned flights for people and researchers in america

On October 25, 2019, post-commercialization, Virgin Galactic was shaped by means of a enterprise mixture between Social Capital Hedosophia Holdings Corp. (“SCH”), a particular function acquisition firm (“SPAC”), and the then non-public predecessor of the Firm, after which SCH modified its title to “Virgin Galactic Holdings, Inc.” and its ticker image at “SPCE” (the “Enterprise Mixture”).

On April 12, 2021, the SEC issued steerage stating that SPAC warrants, that are devices that enable traders to buy extra shares at a hard and fast worth, might have to be labeled as liabilities slightly than fairness. for a lot of PSPC transactions, which have been beforehand recorded. for equity in these transactions.

The criticism alleges that, all through the Class Interval, the Defendants made materially false and deceptive representations concerning the Firm’s enterprise, operational and compliance insurance policies. Particularly, the Defendants made false and / or deceptive statements and / or didn’t disclose that: (i) for accounting functions, SCH warrants must be handled as liabilities slightly than shares; (ii) Virgin Galactic had weak disclosure controls and procedures and inner management over monetary reporting; (iii) consequently, the Firm incorrectly accounted for the SCH warrants that have been excellent on the time of the Enterprise Mixture; and (iv) accordingly, the Firm’s public statements have been materially false and deceptive in any respect materials instances.

On April 30, 3021, after the shut of enterprise, Virgin Galactic introduced “that it has postponed the discharge of its monetary outcomes for the primary quarter of 2021 following the shut of the US markets on Monday, Could 10, 2021. Virgin Galactic will host Now a convention name to debate the outcomes and supply a enterprise replace that day at 2:00 p.m. PT (5:00 p.m. EST) .The Firm is rescheduling its report because of the latest assertion launched by the [SEC] April 12, 2021 concerning the accounting remedy of warrants issued by advert hoc acquisition firms (the “SEC Assertion”). The press launch additional acknowledged that “After reviewing the SEC assertion and consulting with its advisers, the Firm restates its consolidated monetary statements included in its annual report on Type 10-Ok for the yr ended December 31 2020. The restatement is due solely to the accounting remedy of the Social Capital Hedosophia Holdings Corp. warrants. that have been excellent on the time of the Firm’s enterprise mixture on October 25, 2019. The Firm expects to file the restated monetary statements previous to the brand new convention name date and estimates that it’s going to file extra non-operating and non-operating bills. money for every of the fiscal years ended December 31. , 2020 and December 31, 2019. “

On this information, the Virgin Galactic share worth fell $ 2.01 per share, or 9.07%, to shut at $ 20.14 per share on Could 3, 2021.

Pomerantz, with places of work in New York, Chicago, Los Angeles and Paris, is acknowledged as one of many main companies within the areas of company legislation, securities and antitrust litigation. Based by the late Abraham L. Pomerantz, often called the Dean of the Class Actions Bar, Pomerantz was a pioneer within the discipline of securities class actions. Immediately, greater than 80 years later, Pomerantz continues the custom it established, preventing for the rights of victims of securities fraud, breach of fiduciary responsibility {and professional} misconduct. The agency has recovered quite a few multi-million greenback damages on behalf of the members of the group. See www.pomerantzlaw.com

CONTACT:
Robert S. Willoughby
Pomerantz srl
[email protected]
888-476-6529 ext 7980

To view the supply model of this press launch, please go to https://www.newsfilecorp.com/launch/86642

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