Canaan Inc. (NASDAQ: CAN) Investor Securities Class Action Lawsuit 03/05/2020

If you purchased a shares of Canaan Inc. (NASDAQ: CAN), you have certain options and for certain investors are short and strict deadlines running. Deadline: May 4, 2020. NASDAQ: CAN investors should contact the Shareholders Foundation, Inc.

To have your information reviewed for options and to recieve notifications about this case, please use this form. You may also send an email to mail@shareholdersfoundation.com, or call us at (858) 779-1554.
Company Name(s): 
Canaan
Case Name: 
Canaan Shareholder Class Action Lawsuit 03/05/2020
Case Status: 
Lawsuit Filed
Affected Securities
NASDAQ: CAN
Lawsuit Overview
Type of Lawsuit: 
Shareholder Class Action
Date Filed: 
03/05/2020
Court of Filing: 
U.S. District Court for the District of Oregon
Deadline To File for Lead: 
05/04/2020
Summary: 

An investor in shares of Canaan Inc. (NASDAQ: CAN) filed a lawsuit in the U.S. District Court for the District of Oregon over alleged violations of Federal Securities Laws by Canaan Inc. in connection with certain allegedly false and misleading statements made in connection with the Company’s initial public offering commenced on or about November 20, 2019.

China based Canaan Inc. engages in the research, design, and sale of integrated circuit (IC) final system products by integrating IC products for bitcoin mining and related components primarily in the People's Republic of China. Canaan Inc. reported that its annual Total Revenue rose from over $1.3 billion in 2017 to over $2.7 billion in 2018. In November 2019, Canaan Inc. (NASDAQ: CAN) completed its initial public offering ("IPO"), issuing 10 million American Depositary Shares ("ADSs"), at $9.00 per share.

Since the IPO, Canaan’s stock has traded as low as $4.31 per share on February 11, 2020.

According to the complaint the plaintiff alleges on behalf of investors of Canaan Inc. (NASDAQ: CAN) common shares who purchased securities of Canaan Inc. (NASDAQ: CAN) pursuant and/or traceable to the Company’s initial public offering commenced on or about November 20, 2019, that the defendants violated Federal Securities Laws. More specifically, the plaintiff claims that the defendants made false and/or misleading statements and/or failed to disclose that the purported “strategic cooperation” was actually a transaction with a related party, that the company’s financial health was worse than what was actually reported, that the company had recently removed numerous distributors from its website just prior to the IPO, many of which were small or suspicious businesses, and that several of the Company’s largest Chinese clients in prior years were clients who were not in the Bitcoin mining industry and, thus, would likely not be repeat customers.