China Commercial Credit Enters into Stipulation and Agreement to Settle Securities Class Action Litigation
SUZHOU, China, Aug. 17, 2017 /PRNewswire/ -- China Commercial Credit, Inc. (NasdaqCM: CCCR) ("CCCR" orthe "Company"), a microfinance company providing financial services to small-to-medium enterprises ("SMEs"), farmers and individuals in Jiangsu Province, today announced that it has entered into a stipulation and agreement of Settlement (the "Stipulation") to settle the securities class action litigation captioned In re China Commercial Credit Inc. Securities Litigation, Docket No. 1:15-cv-00557-ALC (S.D.N.Y.) (the "Securities Class Action"), pending against it in the United States District Court for the Southern District of New York (the "Court").
On June 1, 2017, following a final fairness hearing on May 30, 2017 regarding the proposed settlement, the Court entered a final judgment and order that: (i) dismisses with prejudice the claims asserted in the Securities Class Action against all named defendants in connection with the Securities Class Action, including the Company, and releases any claims that were or could have been asserted that arise from or relate to the facts alleged in the Securities Class Action, such that every member of the settlement class will be barred from asserting such claims in the future; and (ii) approves the payment of $220,000 in cash and the issuance of 950,000 shares of its common stock (the "Settlement Shares") to members of the settlement class. The Settlement Shares are exempt from registration under Section 3(a)(10) of the Securities Act of 1933, as amended. On July 28, 2017, the Court entered a clarifying order to specify the allocation of attorneys' fees in accordance with the Stipulation.
The settlement does not constitute any admission of fault or wrongdoing by the Company or any of the individual defendants.
About China Commercial Credit
China Commercial Credit, founded in 2008, provides business loans and loan guarantee services to small-to-medium enterprises ("SMEs"), farmers and individuals in China's Jiangsu Province. Due to recent legislation and banking reform in China, these SMEs, farmers and individuals -- which historically had been excluded from borrowing funds from State-owned and commercial banks -- are now able to borrow money at competitive rates from microfinance lenders. For more information, please visit http://www.chinacommercialcredit.com.
Certain statements made herein are "forward-looking statements" within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of words such as "anticipate", "believe", "expect", "estimate", "plan", "outlook", and "project" and other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. Such forward-looking statements include timing of the proposed transaction; the business plans, objectives, expectations and intentions of the parties once the transaction is complete, and CCCR's estimated and future results of operations, business strategies, competitive position, industry environment and potential growth opportunities. These forward-looking statements reflect the current analysis of existing information and are subject to various risks and uncertainties. As a result, caution must be exercised in relying on forward-looking statements. Due to known and unknown risks, our actual results may differ materially from our expectations or projections. All forward-looking statements attributable to the Company or persons acting on its behalf are expressly qualified in their entirety by these factors. All information provided in this press release is as of the date hereof. Other than as required under the securities laws, the Company does not assume a duty to update these forward-looking statements.
The following factors, among others, could cause actual results to differ materially from those described in these forward-looking statements: the outcome of any legal proceedings that have been, or will be, instituted against CCCR or other parties to the Share Exchange Agreement following the announcement of the Share Exchange Agreement and transactions contemplated therein; the ability of CCCR to meet NASDAQ listing standards following the transaction and in connection with the consummation thereof; the inability to complete the transactions contemplated by the Share Exchange Agreement due to the failure to obtain approval of the stockholders of CCCR or other closing conditions to; risks that the proposed transaction disrupts current plans and operations and the potential difficulties in employee retention as a result of the announcement of the Share Exchange Agreement and consummation of the transaction described therein; costs related to the proposed acquisition; changes in applicable laws or regulations; the ability of the combined company to meet its financial and strategic goals, due to, among other things, competition, the ability of the combined company to grow and manage growth profitability, maintain relationships with customers and retain its key employees; the possibility that the combined company may be adversely affected by other economic, business, and/or competitive factors; and other risks and uncertainties described herein, as well as those risks and uncertainties discussed from time to time in other reports and other public filings with the Securities and Exchange Commission (the "SEC") by CCCR.
Additional information concerning these and other factors that may impact our expectations and projections can be found in our periodic filings with the SEC, including our Annual Report on Form 10-K for the fiscal year ended December 31, 2016. CCCR's SEC filings are available publicly on the SEC's website at www.sec.gov. CCCR disclaims any obligation to update the forward-looking statements, whether as a result of new information, future events or otherwise.
For more information, please contact:
Mr. Long Yi, Chief Financial Officer and Director
China Commercial Credit, Inc.
Tel: +86 13584802352
SOURCE China Commercial Credit Inc.
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