Investigation Overview
San Diego, Oct. 28, 2011 (Shareholders Foundation) -- An investigation on behalf of investors in shares of MF Global Holdings Ltd (NYSE:MF) over possible Violations of Federal Securities Laws was announced.
The investigation by a law firm focuses on possible claims on behalf of purchasers of the securities of MF Global Holdings (NYSE:MF) concerning whether the company, certain of its officers and directors, or others have possibly violated federal securities laws.
Specifically, the investigation concerns whether certain statements regarding MF Global Holdings business, its prospects and its operations were potentially materially false and misleading at the time they were made.
MF Global Holdings Ltd reported an increase in its 12months Revenue from $1.99billion for a 12months period ending on March 31, 2010 to $2.23billion for the 12months period ending on March 31, 2011.
(Public, NYSE:MF
Shares of MF Global Holdings Ltd (Public, NYSE:MF) rose from as low as $1.91 per share in Nov. 2008 to as high as $9.55 in April 2010. In the first half of NYSE MF stocks were able to trade above $7. However, since the end of July NYSE MF stocks lost significantly in value.
During August and September MF stocks fell from $7.38 on August 1, 2011 to $4.13 on September 30, 2011.
Then on October 24, 2011, after the market closed, Moody's Investors Service downgraded the long-term ratings of MF Global Holdings Ltd., including its senior, unsecured debt rating to BAA3 from BAA2.
The next day, MF Global Holdings Ltd. reported results for its second fiscal quarter ended September 30, 2011. Among other things, MF Global Holdings said its Revenue, net of interest and transaction-based expenses (net revenue), was $205.9 million for the second quarter 2012, compared with $240.3 million for the same period last year.
MF stocks fell from $3.55 on October 24, 2011 to as low as $1.15 on October 26, 2011.