Investors Have Opportunity to Lead Securities Fraud Lawsuit Against Applied Digital Corporation

Glancy Prongay & Murray LLP (GPM) has announced that investors who have suffered substantial losses now have the opportunity to lead a securities fraud class action lawsuit against Applied Digital Corporation (NASDAQ: APLD). The class period for the lawsuit is from April 13, 2022, to July 26, 2023, with the lead plaintiff deadline set for October 11, 2023.

Investors who wish to serve as lead plaintiff in the Applied Digital lawsuit can submit their contact information at www.glancylaw.com/cases/Applied-Digital-Corporation/ or contact Charles H. Linehan of GPM at 310-201-9150, Toll-Free at 888-773-9224, or via email at shareholders@glancylaw.com for more information about their rights.

The complaint filed alleges that throughout the class period, Applied Digital failed to disclose important information to investors. It is claimed that the company overstated the profitability of its datacenter hosting business and its ability to successfully transition into a low-cost AI Cloud services provider. Additionally, the complaint alleges that Applied Digital’s Board of Directors did not meet the requirements for independence as per NASDAQ listing rules. These alleged actions resulted in the company overstating its business model’s efficacy and failing to maintain proper corporate governance standards. The revelation of these issues was likely to subject the company to significant financial and reputational harm. As a result, the complaint argues that the positive statements made by the defendants about the company’s business, operations, and prospects were materially misleading and lacked a reasonable basis.

Investors who are part of the class action need not take any immediate action. They have the option to retain counsel of their choice or take no action and remain an absent member of the class action.

For more information about the class action or if you have any questions regarding your rights or interests, please contact Charles Linehan, Esquire, of GPM at 1925 Century Park East, Suite 2100, Los Angeles, California 90067, or visit www.glancylaw.com. Inquiries can also be made via email at shareholders@glancylaw.com, with the inclusion of your mailing address, telephone number, and number of shares purchased.

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