The Law Offices of Frank R. Cruz Announces Investigation of WEBTOON Entertainment Inc. (WBTN) on Behalf of Investors

The Law Offices of Frank R. Cruz announces an investigation of WEBTOON Entertainment Inc. (“Webtoon” or the “Company”) (NASDAQ: WBTN) on behalf of investors concerning the Company’s possible violations of federal securities laws.

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On June 27, 2024, Webtoon conducted its initial public offering (“IPO”), selling approximately 16.3 million shares at $21 per share.

On August 8, 2024, Webtoon released its second quarter 2024 financial results, revealing revenue of $321 million, significantly below the analyst estimate of $340.8 million. The Company also reported a quarterly net loss of $76.6 million, stating that the loss was “primarily driven by one-time IPO-related costs and stock-based compensation expenses.”

On this news, Webtoon’s stock price fell $7.88, or 38.1%, to close at $12.75 per share on August 8, 2024, thereby injuring investors.

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If you purchased Webtoon securities, have information or would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Frank R. Cruz, of The Law Offices of Frank R. Cruz, 2121 Avenue of the Stars, Suite 800, Century City, California 90067 at 310-914-5007, by email to info@frankcruzlaw.com, or visit our website at www.frankcruzlaw.com. If you inquire by email please include your mailing address, telephone number, and number of shares purchased.

This press release may be considered Attorney Advertising in some jurisdictions under the applicable law and ethical rules.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240821535622/en/