Jumia investors may receive additional information about the case by clicking the link "Submit Your Information" above.
According to the complaint, Jumia operates a pan-African e-commerce platform, which consists of: (i) a marketplace that connects sellers with consumers; (ii) a package shipment and delivery service; and (iii) a payment service. Jumia’s business had historically been conducted through Africa Internet Holding GmbH, and its subsidiaries. On December 17 and 18, 2018, the company changed its legal form into a German stock corporation and changed its name to Jumia Technologies AG. These changes became effective on January 31, 2019, upon registration with the commercial register of the local court in Berlin, Germany.
On March 12, 2019, Jumia filed with the SEC a Form F-1 Registration Statement (the “Registration Statement”) for the Initial Public Offering (“IPO”). On April 15, 2019, Jumia filed with the SEC a prospectus for the IPO, which forms part of the Registration Statement, offering to sell to the public 15.525 million ADSs at a price of $14.50 per ADS. The Class Period starts April 12, 2019, the first day Jumia ADSs traded on the NYSE.
On May 9, 2019, Citron Research issued a research report announcing “Jumia is a Fraud” that “deserves immediate SEC attention.” According to the report, while media in the U.S. naively anointed Jumia the “Amazon of Africa,” numerous articles have been issued in its home country of Nigeria claiming widespread fraud at the company. The report further noted that just prior to the IPO, Jumia issued a confidential investor presentation in October 2018 during a capital raising effort. According to the report, “many material discrepancies in reported key financial metrics” existed between the Registration Statement and the confidential investor presentation.
The complaint alleges that the Registration Statement was false and misleading and omitted to state material adverse facts. The complaint further alleges that the defendants failed to disclose to investors that: (a) Jumia had materially overstated its active customers and active merchants; (b) Jumia’s representations about its orders, order cancellations, undelivered orders and returned orders lacked a sufficient factual basis and materially overstated Jumia’s sales; (c) Jumia failed to sufficiently disclose related party transactions; and (d) Jumia’s financial statements were presented in violation of applicable accounting standards.
If you are a member of the class described above, you may no later than July 15, 2019 move the Court to serve as lead plaintiff of the class, if you so choose.
A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member’s claim is typical of the claims of other class members, and that the class member will adequately represent the class. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. Any member of the purported class may move the court to serve as a lead plaintiff through counsel of their choice, or may choose to do nothing and remain an inactive class member.
Kessler Topaz Meltzer & Check, LLP has not filed a complaint in this matter. If you wish to discuss this action or have any questions concerning this notice or your rights or interests with respect to these matters, please contact Kessler Topaz Meltzer & Check, LLP toll free at 1-844-887-9500 or 1-610-667-7706, or via e-mail at firstname.lastname@example.org. If you would like additional information about the suit, please click on the link "Submit Your Information" above and fill out the form as promptly as possible.
Kessler Topaz Meltzer & Check, LLP
James Maro, Esq. or Adrienne Bell, Esq.
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Radnor, PA 19087
1-844-887-9500 (toll free) or 1-610-667-7706
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