INVESTOR ALERT: Edelson Lechtzin LLP Urges Atlas Lithium Corporation f/k/a Brazil Minerals, Inc. (NASDAQ: ATLX, BMIX) Shareholders with Substantial Losses to Consider Seeking Leadership in the Securities Fraud Class Action
NEWTOWN, PA, June 5, 2023 — The law firm of Edelson Lechtzin LLP is investigating securities fraud claims on behalf of all purchasers and holders of Atlas Lithium Corporation common stock (NASDAQ: ATLX) between March 25, 2022 and May 3, 2023, inclusive (the “Class Period”).
Investors who purchased Atlas Lithium common stock may move the U.S. District Court for the Central District of California to appoint them as lead plaintiff, no later than August 1, 2023. Current holders of Atlas Lithium stock may pursue corporate governance reforms. Please contact Edelson Lechtzin LLP at 844-696-7492 to discuss your investment losses, or by e-mail at [email protected]. A copy of the class action complaint can be viewed HERE.
Background on Atlas Lithium Corporation
Headquartered in Beverly Hills, California, Atlas Lithium is mineral exploration company with multiple lithium exploration properties in Brazil. Founded by CEO Marc Fogassa, the Company was known as Brazil Minerals, Inc. (NASDAQ: BMIX) from 2013 through 2022.
The Securities Fraud Claims
After generating just $1.4 million in revenue from 2013 to 2021, the Company pivoted its purported focus from diamonds to lithium and changed its name to Atlas Lithium in October 2022. In connection with this, Atlas Lithium issued a press release to highlight the Company’s purported success in lithium drilling and mineral rights in Brazil. In January 2023, the Company engaged investment bank EF Hutton for a second public offering of 675,000 shares priced at $6.00 per share.
On May 4, 2023, Bleecker Street Research published a report saying Atlas Lithium “resembles many characteristics of a pump and dump.” The report alleged that Atlas Lithium’s “predecessor company did a similar promotion before bagging retail investors”; and that “Atlas Lithium’s CEO was previously associated with Hunter Wise Securities, a broker fined $105 million for claiming to sell physical gold that it didn’t have.”; and that EF Hutton “[a] similarly disastrous bank, handled ATLX’s most recent offering and uplifting in early January.” On this news, Atlas Lithium’s stock price fell $12.95 per share, or 43.34%, to close at $16.93 per share on May 4, 2023.
The complaint alleges, that throughout the Class Period, Defendants made false and/or misleading statements and/or failed to disclose to investors that: (i) Atlas Lithium overstated the success of its lithium mining and misrepresented the nature of its Brazilian mineral rights; (ii) in connection with these misrepresentations, Atlas Lithium conducted deceptive promotions to artificially inflate the value of the Company’s stock; (iii) the foregoing conduct was designed to allow CEO Fogassa and other Company insiders to sell shares back into the market for a profit before the true nature of Atlas Lithium’s business was revealed.
For more information, please contact:
Marc H. Edelson, Esq.
Eric Lechtzin, Esq.
EDELSON LECHTZIN LLP
411 S. State Street, Suite N-300
Newtown, PA 18940
Phone: 844-696-7492 or 215-867-2399 ext. 1
Email: [email protected]
Email: [email protected]
Edelson Lechtzin LLP is a national class action law firm with offices in Pennsylvania and California. In addition to cases involving securities and investment fraud, our lawyers focus on class and collective litigation in cases alleging violations of the federal antitrust laws, employee benefit plans under ERISA, wage theft and unpaid overtime, consumer fraud, and dangerous and defective drugs and medical devices.
This press release may be considered Attorney Advertising in some jurisdictions. No class has been certified in this case, so you are not represented by counsel unless you retain one. You may select counsel of your choice. You may also remain an absent class member and do nothing at this point. Your ability to share in any potential future recovery is not dependent upon serving as lead plaintiff.