KlaymanToskes Has Recovery Options for WiSA Investors
NEW YORK, NY / ACCESSWIRE / February 29, 2024 / National investment fraud lawyers KlaymanToskes is investigating brokerage firms and brokers/investment advisors who unsuitably recommended WiSA Technologies (NASDAQ:WISA) to their customers. WiSA's stock declined by 99% in the past year. Investors who suffered losses due to their broker/financial advisor's unsuitable investment recommendations and/or over concentration of investments in WiSA and/or any other private placement offering should immediately contact KlaymanToskes at (888) 997-9956.
WiSA is a high-risk, illiquid, private placement investment, which has faced continued instability of its share price since the company first went public in 2018. In the past year, WiSA's share price has plummeted by over 99%. WiSA's return on invested capital (ROIC) is -1,461.43% since inception.
WiSA disclosed in its latest Form 10-Q filing with the Securities and Exchange Commission ("SEC") that it will need to raise additional funds through either the sale of additional equity, or incurring debt, as its revenues are unable to cover its cost of operations. The company stated that there is "substantial doubt about the Company's ability to continue as a going concern."
Maxim Group, LLC served as the sole placement agent for WiSA in connection with its Private Placement offering. The compensation to Maxim Group for sales of the shares, as an agent of the company, is a cash transaction fee equal to three percent (3%) of the gross sales price of all of shares sold.
Brokerage firms and their registered financial professionals have a duty to recommend suitable investments to their customers. KlaymanToskes believes financial advisors and their firms may have misrepresented the lack of liquidity and risk-factors related to investments in WiSA, leading to unsuitable recommendations.
Further, brokerage firms have a duty to ensure that their customers are not over concentrated in any one investment product or market sector, and maintain a responsibility to provide customers with diversification and risk-management strategies to protect concentrated and/or margined positions. They can also be held liable if their due diligence was inadequate, and/or if they failed to question the company's risk and financing needs.
If you suffered investment losses as a result of a recommendation to purchase WiSA Technologies by your broker/financial advisor, contact attorney Lawrence L. Klayman at (888) 997-9956 or lawrence@klaymantoskes.comfor a free and confidential consultation to discuss recovery options. We do not collect attorney's fees unless we are able to obtain a financial recovery for you.
About KlaymanToskes
KlaymanToskes is a leading national securities law firm which practices exclusively in the field of securities arbitration on behalf of retail and institutional investors throughout the world in large and complex securities matters. The firm has recovered over $250 million in FINRA arbitrations and over $350 million in other securities litigation matters. KlaymanToskes has office locations in California, Florida, New York, and Puerto Rico.
Contact
KlaymanToskes, P.A.
Lawrence L. Klayman, Esq.
888-997-9956
lawrence@klaymantoskes.com
www.klaymantoskes.com
SOURCE: KlaymanToskes, P.A.
View the original
press release on accesswire.com
