Ryan & Maniskas, LLP ( www.rmclasslaw.com/cases/ddmgq) announces that a class action lawsuit has been filed in the United States District Court for the Southern District of Florida against Digital Domain Media Group, Inc. ("Digital Domain" or the "Company") (OTCQB: DDMGQ) on behalf of investors who purchased or otherwise acquired the common stock of the Company during the period from November 18, 2011 through September 6, 2012 (the "Class Period"), including purchases of Digital Domain's common stock in or traceable to the Company's November 18, 2011 initial public offering, (the "IPO"). The complaint brings forth claims for violations of the federal securities laws.
For more information regarding this class action suit, please contact Ryan & Maniskas, LLP (Richard A. Maniskas, Esquire) toll-free at (877) 316-3218 or by email at email@example.com or visit: www.rmclasslaw.com/cases/ddmgq
Digital Domain, which is based in Port St. Lucie, Florida, offers digital production services to the motion picture and television industries. The complaint alleges that Digital Domain was forced to file for bankruptcy in September 2012, less than 10 months after its IPO, and the Company misled investors in documents filed with the SEC as part of the Offering and in other statements made throughout the Class Period.
Specifically, the complaint alleges that, among other things, Digital Domain misled the public about the Company's ability to raise capital and fund its operations, falsely reassuring investors about the Company's ability to meet operating expenses while it "burned" cash at a rate that threatened its viability. In fact, according to a September 18, 2012 article in the Palm Beach Post, Digital Domain had difficulties meeting payroll as far back as 2010. According to the same article, then-Chairman and CEO John C. Textor "himself predicted a 'train wreck' in an email to an investor in early 2010."