PR Newswire | Aug 17, 2020 12:01PM EDT

Looming Deadline in the Class Action Lawsuit Against PlayAGS, Inc. (AGS)

08/17 11:00 CDT

Deadline Reminder: The Law Offices of Howard G. Smith Reminds Investors of Looming Deadline in the Class Action Lawsuit Against PlayAGS, Inc. (AGS) BENSALEM, Pa., Aug. 17, 2020

BENSALEM, Pa., Aug. 17, 2020 /PRNewswire/ -- Law Offices of Howard G. Smith reminds investors of the upcoming August 24, 2020deadline to file a lead plaintiff motion in the class action filed on behalf of investors who acquired PlayAGS, Inc. ("PlayAGS" or the "Company") (NYSE: AGS) securities between August 2, 2018 and August 7, 2019,inclusive (the "Class Period").

Investors suffering losses on their PlayAGS investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to howardsmith@howardsmithlaw.com.

On August 7, 2019, PlayAGS reported a net loss of $7.6 million for second quarter 2019 which included a $3.5 million impairment to goodwill and a $1.3 million impairment to intangible assets of the Company's iGaming reporting unit, due to extended regulatory timelines which delayed revenues.

On this news, the Company's share price fell $8.99, or nearly 52%, to close at $8.31 per share on August 8, 2019, on unusually heavy trading volume.

The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company's business, operations, and prospects. Specifically, Defendants failed to disclose to investors: (1) that PlayAGS was experiencing challenges in its business in Oklahoma; (2) that, as a result, the Company's recurring revenue would be negatively impacted; (3) that PlayAGS was experiencing challenges in its Interactive business segment, including delays in securing regulatory approvals and relevant licenses; (4) that, as a result of the foregoing, PlayAGS was reasonably likely to record a goodwill impairment; and (5) that as a result, Defendants' statements about the Company's business, operations, and prospects, were materially false and misleading and/or lacked a reasonable basis at all relevant times.

If you purchased or otherwise acquired PlayAGS securities, you may move the Court no later than August 24, 2020,to ask the Court to appoint you as lead plaintiff if you meet certain legal requirements. To be a member of the class action you need not take any action at this time; you may retain counsel of your choice or take no action and remain an absent member of the class action. If you wish to learn more about this class action, or if you have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to howardsmith@howardsmithlaw.com, or visit our website at www.howardsmithlaw.com.

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.

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SOURCE Law Offices of Howard G. Smith