Here's some more on LCOS.....
I think I mentioned this before: The allegations are that you can't deliver "false and misleading statements". They seem to produce lawsuits.
It may not have any merit, or it may. But it's another mess that has to be dealt with, and with the lofty valuations, this exposes more risk in ownership.
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Thursday March 18, 5:15 pm Eastern Time
Company Press Release
SOURCE: Spector & Roseman, P.C.
Spector & Roseman, P.C. Announces Class Action Law Suit Filed Against Lycos, Inc. and Its Chief Executive Officer on Behalf of All Purchasers Of Lycos, Inc. Stock
PHILADELPHIA, March 18 /PRNewswire/ -- Notice is hereby given that a class action lawsuit was filed today in the United States District Court in the District of Massachusetts on behalf of all purchasers of Lycos, Inc. (''Lycos'') (Nasdaq: LCOS - news) common stock during the period of January 25, 1999 through February 9, 1999 (the ''Class Period'') by the law firm of Spector & Roseman, P.C. The Complaint alleges that Lycos and the Chief Executive Officer of the Company during the Class Period violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934. The Complaint charges that the defendants issued a series of materially false and misleading statements concerning the Company's commitment to remaining independent notwithstanding the fact that Lycos was in serious and advanced discussions to merge with USA Networks, Inc. (''USA'') at the time. Because of the issuance of these false and misleading statements, the price of Lycos common stock was artificially inflated during the Class Period.
The Complaint alleges that on February 9, 1999, the Company shocked the market by announcing that it had signed a definitive agreement to merge with USA's e-commerce and Internet assets and Ticketmaster Online-Citysearch, Inc. and that post transaction Lycos shareholders would own a mere 30% of the newly formed company. Further, it was reported that Lycos shareholders would receive 2.25 shares of USA, consideration of $94.50 per Lycos share which was then trading at $127 per share, plus an option to buy preferred shares in the newly formed company. As a result of this announcement, the price of Lycos stock collapsed from a Class Period high of $127.25 to $87.25 per share. The plaintiff seeks to recover damages on behalf of all purchasers of Lycos common stock during the Class Period. Plaintiff is represented by the law firm Spector & Roseman, P.C., who have expertise in prosecuting investor class actions and extensive experience in actions involving financial fraud.
Spector & Roseman, P.C., located in Philadelphia, Pennsylvania and San Diego, California, concentrates its practice in complex litigation including actions dealing with securities laws, antitrust, contract and commercial claims. The firm is active in major litigation pending in federal and state courts throughout the United States. The firm's reputation for excellence has been recognized on repeated occasions by courts which have appointed the firm as lead counsel in numerous major class actions involving violations of the federal securities laws and the federal antitrust laws. As a result of the efforts of the firm, and its members, hundreds of millions of dollars have been recovered on behalf of thousands of defrauded shareholders and companies. The Firm is currently representing investors as lead counsel in actions against S3, Inc., Altris Software, Dreyfus Aggressive Growth Fund, Mitcham Corporation, Vivus, Inc., and Zapata Corporation. The firm is currently representing businesses as lead counsel in the following antitrust actions: In re Flat Glass Antitrust Litigation; In re Corrugated Paper Antitrust Litigation.
If you are a member of the Class described above, you may, no later than sixty days from February 22, 1999, move the Court to serve as lead plaintiff of the Class, if you so choose. In order to serve as lead plaintiff, however, you must meet certain legal requirements. If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact plaintiff's counsel Robert M. Roseman or Joshua H. Grabar toll free at 1-888-844-5862 or via E-mail at spro@voicenet.com. For more detailed information about the firm please visit its website at spectorandroseman.com.
SOURCE: Spector & Roseman, P.C.
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