NEW YORK, — Gainey McKenna & Egleston announces that a class action lawsuit has been filed against Trivago N.V. (“Trivago” or the “Company”) (Nasdaq:TRVG) in the United States District Court for the Southern District of New York on behalf of a class consisting of investors who purchased or otherwise acquired Trivago’s American Depositary Receipts (“ADRs”): (1) pursuant and/or traceable to Trivago’s false and misleading Registration Statement and Prospectus, issued in connection with the Company’s initial public offering on or about December 16, 2016 (the “IPO” or the “Offering”); and/or (2) on the open market between December 16, 2016 and October 26, 2017, both dates inclusive (the “Class Period”), seeking to recover damages caused by Defendants’ violations of the Securities Act of 1933 (the “Securities Act”) and the Securities Exchange Act of 1934 (the “Exchange Act”).
The Complaint alleges that Defendants made false and/or misleading statements and/or failed to disclose that: (i) the Company engaged in deceptive sales practices; (ii) such practices were nearly certain to bring Trivago under enhanced regulatory scrutiny; and (iii) as a result of the foregoing, Trivago’s public statements were materially false and misleading at all relevant times.
On October 27, 2017, the U.K.’s Competition and Markets Authority (“CMA”) announced that it was investigating the manner in which Trivago displays information to customers. Specifically, the CMA cited concerns about the clarity, accuracy and presentation of information on sites, which could mislead customers. The CMA said it would examine how hotels were ranked, whether results were influenced by how much commission a hotel pays over the customer’s requirements, the use of “pressure selling,” and hidden charges. On this news, Trivago’s ADRs fell $0.36, or 4.54%, to close at $7.57 on October 27, 2017.
Investors who purchased or otherwise acquired shares during the Class Period should contact the Firm prior to the December 29, 2017 lead plaintiff motion deadline. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. If you wish to discuss your rights or interests regarding this class action, please contact Thomas J. McKenna, Esq. or Gregory M. Egleston, Esq. of Gainey McKenna & Egleston at (212) 983-1300, or via e-mail at [email protected] or [email protected].
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