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Pastimes : Clown-Free Zone... sorry, no clowns allowed -- Ignore unavailable to you. Want to Upgrade?

To: Knighty Tin who wrote (163259)	5/1/2002 4:06:02 PM
From: Box-By-The-Riviera™	Read Replies (1) \| Respond to of 436258

nice musings on the dollar today KT. it timed the turn almost perfectly.

To: Knighty Tin who wrote (163259)	5/2/2002 12:00:05 AM
From: JHP	Respond to of 436258

ho ho ho Tuesday April 30, 4:46 pm Eastern Time Reuters Business Investors file suit over DOV Pharmaceuticals IPO (Recasts, adds lawyer quote, paragraph 3, name of second law firm representing the case, paragraph 12.) By Jake Keaveny NEW YORK, April 30 (Reuters) - Investors in DOV Pharmaceuticals (Nasdaq:DOVP - news) have filed a suit against the drug developer and its investment bankers, saying last-minute accounting changes caused DOV's market debut to bomb last week. ADVERTISEMENT DOV and its underwriters -- CIBC World Markets and Lehman Bros. Holdings Inc. (NYSE:LEH - news) -- violated securities laws when they failed to inform investors of the changes, alleges a complaint filed on Monday by Hillhouse Capital Management and Turnberry Asset Management with the U.S. District Court for the Southern District of New York. The sudden changes resulted in a loss of investor confidence and caused the IPO to clock the worst performance in two years on its debut -- down 33 percent in the first day of trading, the investors allege. "Purchasers of the shares in the IPO or in the aftermarket were not promptly made aware of the restatement, and as a result, suffered losses on the first day of trading or thereafter," said Stephen Oestreich of Slotnick, Shapiro & Crocker, one of the firms representing investors, in a release. Separately, other investors who acquired as much as 10 percent of the shares in the IPO are trying to withhold payment to CIBC World Markets for shares they ordered. They have been referred to the legal counsel of CIBC, one investor, who wanted to remain anonymous, said on Tuesday. Officials at DOV, Lehman, and CIBC, which is a unit of Toronto-based Canadian Imperial Bank of Commerce (Toronto:CM.TO - news), did not immediately comment on the suit on Tuesday. Investors, still skittish from accounting scandals at companies like Enron Corp. (Other OTC:ENRNQ.PK - news), said they should have been given time to digest the Securities and Exchange Commission-mandated changes. Some said they weren't informed until late Thursday, almost a full day after the shares had been allotted and launched on the Nasdaq stock market. The accounting alterations were related to an accounting change that widened losses made by Bermuda-based joint venture DOV Bermuda Inc. in 1999 to $11.9 million from $10.2 million. DOV's partner in the venture is Elan Corp. (NYSE:ELN - news), an Irish biotechnology company that has come under fire for the use of other joint ventures in its accounting practices. "Unbeknownst to the majority of the investing public ... the Company re-filed its offering documents with the SEC to reflect a revision of its 1999 financial results for a joint venture in Bermuda with Elan Corp.," the law suit said. "Most investors had already paid for the stock, and did not receive the amended prospectus before the IPO took effect." A banker who worked on the DOV sale, however, said the accounting changes have little effect on the company's bottom line. DOV's poor stock performance was due more to investor reluctance to invest in money-losing companies and a slump in biotechnology shares in general, the banker said. Stock in the New Jersey company plunged 33 percent in its debut last Thursday. It declined another 1 percent early Tuesday to $7.38, 43 percent below its IPO offer price. The investors are being represented by New York legal firms Slotnick, Shapiro & Crocker LLP and Kirby, McInerny & Squire LLP. Email this story - Most-emailed articles - Most-viewed articles -------------------------------------------------------------------------------- More Quotes and News: Nasdaq:DOVP - news Canadian Imperial Bank of Commerce (Toronto:CM.TO - news) Elan Corporation PLC (NYSE:ELN - news) Lehman Brothers Holdings Inc (NYSE:LEH - news) Related News Categories: banking, biotech, health care, IPOs, law, medical/pharmaceutical, US Market News --------------------------------------------------------------------------------