MINNEAPOLIS, June 11, 2008 (LAWFUEL) — Charles H. Johnson &
Associates announces that a class action has been commenced in the
United States District Court for the Southern District of New York on
behalf of purchasers of NexCen Brands, Inc. (“NexCen” or the “Company”)
(Nasdaq:NEXC) publicly traded securities during the period May 10, 2007
through May 19, 2008 (the “Class Period”).
If you are a member of the proposed Class, you may move the Court to
serve as a lead plaintiff for the Class on or before July 28, 2008. You
do not need to be a lead plaintiff in order to share in any recovery
that may be obtained.
The Complaint alleges that during the Class Period, Defendants issued a
series of materially false and misleading statements that
misrepresented and failed to disclose: 1) that the Company was able to
finance a portion of the Great American Cookies acquisition by agreeing
to an accelerated-redemption feature, which would force the Company to
pay back half of its borrowing by a certain date; 2) that the Company
was unable to comply with this accelerated-redemption feature, which
would reduce the amount of cash available to the Company; 3) that the
Company had no reasonable basis for its earnings guidance for fiscal
2008; and 4) as a result of the foregoing, the Company’s ability to
continue as a going concern was in serious doubt.
On May 19, 2008, the Company announced that it expected to amend its
Form 10-K annual report for the year ended December 31, 2007 and that
its prior financial guidance for 2008 was “no longer applicable.” Upon
this news, shares of NexCen’s stock fell $1.95 per share, or 77%, to
close at $0.58 per share.
If you purchased NexCen Brands, Inc. securities during the Class
Period, or have any questions concerning this notice or your rights
with respect to this matter, please contact: