NEW YORK, May 4, 2021 (Bronstein, Gewirtz & Grossman PR) — Bronstein, Gewirtz & Grossman, LLC is investigating potential claims on behalf of purchasers of Virgin Galactic Holdings, Inc. (“Virgin Galactic” or “the Company”) (NYSE:SPCE). Investors who purchased Virgin Galactic securities are encouraged to obtain additional information and assist the investigation by visiting the firm’s site: www.bgandg.com/spce.
The investigation concerns whether Virgin Galactic and certain of its officers and/or directors have violated federal securities laws.
On April 30, 3021, post-market, Virgin Galactic announced “that it has rescheduled the reporting of its financial results for the first quarter 2021 to following the close of the U.S. markets on Monday, May 10, 2021. Virgin Galactic will now host a conference call to discuss the results and provide a business update that day at 2:00 p.m., Pacific Time (5:00 p.m., Eastern Time). The Company is rescheduling its reporting due to the recent statement issued by the Securities and Exchange Commission (the ‘SEC’) on April 12, 2021 relating to the accounting treatment of warrants issued by special purpose acquisition companies (the ‘SEC Statement’).” The press release further advised that “following its review of the SEC Statement and consulting with its advisors, the Company will restate its consolidated financial statements included in its Annual Report on Form 10-K for the fiscal year ended December 31, 2020. The restatement is due solely to the accounting treatment for the warrants of Social Capital Hedosophia Holdings Corp. that were outstanding at the time of the Company’s business combination on October 25, 2019. The Company expects to file the restated financials prior to the new conference call date and estimates that it will recognize incremental non-operating, non-cash expense for each of the fiscal years ended December 31, 2020 and December 31, 2019.” On this news, Virgin Galactic’s stock price fell $2.01 per share, or 9.07%, to close at $20.14 per share on May 3, 2021.
If you are aware of any facts relating to this investigation, or purchased Virgin Galactic shares, you can assist this investigation by visiting the firm’s site: www.bgandg.com/spce. You can also contact Peretz Bronstein or his Investor Relations Analyst, Yael Hurwitz of Bronstein, Gewirtz & Grossman, LLC: 212-697-6484.
Bronstein, Gewirtz & Grossman, LLC is a corporate litigation boutique. Our primary expertise is the aggressive pursuit of litigation claims on behalf of our clients. In addition to representing institutions and other investor plaintiffs in class action security litigation, the firm’s expertise includes general corporate and commercial litigation, as well as securities arbitration. Attorney advertising. Prior results do not guarantee similar outcomes.