Ryan & Maniskas, LLP Announces Class Action Lawsuit Against Digital Domain Media Group, Inc.

Ryan & Maniskas, LLP Announces Class Action Lawsuit Against Digital Domain Media Group, Inc.

WAYNE, Pa.--(BUSINESS WIRE)-- Ryan & Maniskas, LLP (www.rmclasslaw.com/cases/ddmgq) announces that a class action lawsuit has been filed in the United States District Court for the Southern District of Florida against Digital Domain Media Group, Inc. ("Digital Domain" or the "Company") (OTCQB: DDMGQ) on behalf of investors who purchased or otherwise acquired the common stock of the Company during the period from November 18, 2011 through September 6, 2012 (the "Class Period"), including purchases of Digital Domain's common stock in or traceable to the Company's November 18, 2011 initial public offering, (the "IPO"). The complaint brings forth claims for violations of the federal securities laws.

For more information regarding this class action suit, please contact Ryan & Maniskas, LLP (Richard A. Maniskas, Esquire) toll-free at (877) 316-3218 or by email at rmaniskas@rmclasslaw.com or visit: www.rmclasslaw.com/cases/ddmgq

Digital Domain, which is based in Port St. Lucie, Florida, offers digital production services to the motion picture and television industries. The complaint alleges that Digital Domain was forced to file for bankruptcy in September 2012, less than 10 months after its IPO, and the Company misled investors in documents filed with the SEC as part of the Offering and in other statements made throughout the Class Period.

Specifically, the complaint alleges that, among other things, Digital Domain misled the public about the Company's ability to raise capital and fund its operations, falsely reassuring investors about the Company's ability to meet operating expenses while it "burned" cash at a rate that threatened its viability. In fact, according to a September 18, 2012 article in the Palm Beach Post, Digital Domain had difficulties meeting payroll as far back as 2010. According to the same article, then-Chairman and CEO John C. Textor "himself predicted a 'train wreck' in an email to an investor in early 2010."

The truth of the Company's financial situation was revealed in a series of disclosures beginning with an August 1, 2012 press release stating that Digital Domain would explore "a broad range of strategic and financial alternatives" and culminating with its filing for Chapter 11 bankruptcy protection. As a result of these disclosures, the value of the Company's stock has declined significantly, damaging investors.

If you are a member of the class, you may, no later than November 19, 2012, request that the Court appoint you as lead plaintiff of the class. A lead plaintiff is a representative party that acts on behalf of other class members in directing the litigation. In order to be appointed lead plaintiff, the Court must determine that the class member's claim is typical of the claims of other class members, and that the class member will adequately represent the class. Under certain circumstances, one or more class members may together serve as "lead plaintiff." Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. You may retain Ryan & Maniskas, LLP or other counsel of your choice, to serve as your counsel in this action.

For more information about the case or to participate online, please visit: www.rmclasslaw.com/cases/ddmgq or contact Richard A. Maniskas, Esquire toll-free at (877) 316-3218, or by e-mail at rmaniskas@rmclasslaw.com. For more information about class action cases in general or to learn more about Ryan & Maniskas, LLP, please visit our website: www.rmclasslaw.com.

Ryan & Maniskas, LLP is a national shareholder litigation firm. Ryan & Maniskas, LLP is devoted to protecting the interests of individual and institutional investors in shareholder actions in state and federal courts nationwide.

Ryan & Maniskas, LLP
Richard A. Maniskas, Esquire

KEYWORDS: United States North America Pennsylvania


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