| COMPANY |
Zeta Global Holdings Corp. |
| COURT |
United States District Court for the Southern District of New York |
| CASE NUMBER |
24-cv-08961 |
| JUDGE |
The Hon. Dale E. Ho |
| CLASS PERIOD |
February 27, 2024 through November 13, 2024 |
| SECURITY TYPE |
Securities |
Case Background:
The Class Period begins on February 27, 2024. On that day, Zeta issued a press release announcing its financial results for the fiscal year and quarter ended December 31, 2023 and touted the company’s “Fourth Consecutive Year of 20%+ Revenue Growth in 2023.” Likewise, on February 28, 2024, Zeta submitted its annual report for the fiscal year ended December 31, 2023 on a Form 10-K filed with the SEC. In the annual report, Zeta affirmed the company’s previously reported financial results and touted that the company has “the industry’s largest opted-in data set for omnichannel marketing,” allegedly composed of “more than 240 million opted-in individuals in the U.S. and more than 535 million opted-in individuals globally.”
The complaint 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) Zeta used two-way contracts to artificially inflate financial results; (2) Zeta engaged in round trip transactions to artificially inflate financial results; (3) Zeta utilized predatory consent farms to collect user data; (4) these consent farms have driven almost the entirety of Zeta’s growth; and (5) as a result of the foregoing, Defendants’ positive statements about the company’s business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
Current Status of Case:
On February 26, 2025, the Court appointed Lead Plaintiffs. This action is ongoing.
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: Jon Naji, Esq. (484) 270-1453; toll-free at (844) 887-9500; or via e-mail at info@ktmc.com. 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.