LOS ANGELES, Sept. 10, 2007 LAWFUEL – The Class Actions Lawsuit Newswire — Notice is hereby given that Glancy Binkow & Goldberg LLP has filed a Class Action lawsuit in the United States District Court for the Northern District of Texas on behalf of a class (the “Class”) consisting of all persons or entities who purchased the stock of Heelys, Inc. (“Heelys” or the
“Company”)(Nasdaq:HLYS) issued pursuant or traceable to the Company’s Registration Statement filed with the Securities and Exchange Commission by Heelys in connection with the Company’s December 2006 initial public stock offering (the “IPO”).
A copy of the Complaint is available from the court or from Glancy Binkow & Goldberg LLP. Please contact us by phone to discuss this action or to obtain a copy of the Complaint at (310) 201-9150 or Toll Free at (888) 773-9224, by email at [email protected], or visit our website at www.glancylaw.com.
The Complaint charges, among others, Heelys and certain of the Company’s executive officers and directors with violations of federal securities laws. Plaintiff claims that defendants’ material omissions and dissemination of materially false and misleading statements concerning the Company’s business and prospects caused Heelys stock price to become artificially inflated, inflicting damages on investors.
Heelys designs, markets and distributes footwear with a removable wheel which allows wearers to switch from walking or running to skating by shifting weight to their heels. The Complaint alleges that the defendants knew or recklessly disregarded and failed to disclose that the Registration Statement filed by defendants in connection with the IPO was misleading in that, among other things, it represented that Heelys had a viable, well-established business plan and that the Company’s revenue growth and resulting profits were based on sound business and stable sales practices. Moreover, the Registration Statement failed to disclose the staggering number of injuries suffered by Heelys users in the months leading up to the IPO.
When the truth about the dangers associated with use of Heelys reached the market on August 8, 2007, ratings of the Company’s common stock were slashed and Heelys’ stock price plummeted to less than $13 per share, thereby damaging investors who acquired Heelys stock pursuant or traceable to the IPO.
Plaintiff seeks to recover damages on behalf of Class members and is represented by Glancy Binkow & Goldberg LLP, a law firm with significant experience in prosecuting class actions, and substantial expertise in actions involving corporate fraud.
If you are a member of the Class described above, you may move the Court, not later than October 26, 2007, 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 with respect to these matters, please contact Michael Goldberg, Esquire, of Glancy Binkow & Goldberg LLP, 1801 Avenue of the Stars, Suite 311, Los Angeles, California 90067, by telephone at
(310) 201-9150 or Toll Free at (888) 773-9224 or by e-mail to [email protected]
More information on this and other class actions can be found on the Class Action Newsline at www.primenewswire.com/ca.