Applied Digital Corporation
Investors that purchased the Company’s securities and have suffered a loss, please fill in transaction information below, or email to info@portnoylaw.com.
There is no cost or obligation associated with submitting your information. If you are a shareholder who suffered a loss, please submit your contact information and purchase information to participate in the putative class action.
We also encourage you to contact Lesley F. Portnoy of The Portnoy Law Firm, at 310.692.8883, to discuss your rights free of charge. You can also reach us through the firm’s website at www.portnoylaw.com, or by email at info@portnoylaw.com.
If you choose to take no action, you can remain an absent class member.
Joining the case through the Portnoy Law website enables investors to learn about their legal claims and take an active role in recovering their losses.
The Portnoy Law Firm represents investors around the world and specializes in securities class action lawsuits and shareholder rights litigation.
CONTACT:
Portnoy Law Firm
Lesley F. Portnoy, Esq.,
www.portnoylaw.com
Office: 310.692.8883
1800 Century Park East, Suite 600
Los Angeles, CA 90067
info@portnoylaw.com
Applied Digital, formerly known as Applied Blockchain, operates datacenters in North America and offers artificial intelligence (AI) cloud services, computing datacenter hosting, and crypto datacenter hosting. The company went public in April 2022, issuing 8 million shares of common stock at $5.00 per share through an IPO. The IPO was underwritten by B. Riley Securities, a subsidiary of B. Riley Financial. Despite close connections between Applied Digital’s executives and B. Riley entities, the company assured compliance with NASDAQ listing rules. In May 2023, Applied Digital announced a cloud service for AI applications and entered into a loan agreement with B. Riley entities. Market analysts questioned the viability of the business model, leading to a series of short reports that highlighted potential issues, including inflated profitability claims, lack of board independence, and conflicts of interest. These reports led to stock price drops in July 2023, reflecting concerns about the company’s operations, governance, and financial well-being.
