A class action has been filed against Leadis Technology, Inc. (NasdaqNM:LDIS), certain of its officers and directors by stockholders who purchased the company's common stock between June 16, 2004 and October 22, 2004. The action claims that the defendants violated federal securities laws by issuing a series of material misrepresentations to the market over this time period, thereby artificially inflating the price of the company's securities. The stockholders seek to recover compensatory damages for the loss of value of their stock.

Leadis Technology, Inc. designs, develops and markets mixed-signal semiconductors that enable and enhance the features and capabilities of small-panel displays.

According to a press release dated March 2, 2005, a class action has been commenced on behalf of those who acquired Leadis Technology, Inc. common stock pursuant to the Company's false and misleading Registration Statement and Prospectus for its initial public offering on June 16, 2004. The complaint charges Leadis and certain of its officers and directors with violations of the Securities Act of 1933. Leadis designs, develops and markets mixed-signal semiconductors that enable and enhance the features and capabilities of small panel displays. The Company's core products are color display drivers with integrated controllers, which are critical components of displays used in mobile consumer electronics devices.

Specifically, the complaint alleges that on June 16, 2004, Leadis accomplished its IPO of 6 million shares for net proceeds of $76.6 million, pursuant to a Registration Statement and Prospectus. The Registration Statement and Prospectus failed to disclose that Leadis was engaging in overshipments of its OLED product.

On or around October 22, 2004, Leadis announced that its fourth quarter results would be much lower than analysts' expectations. Leadis admitted that a drop in sales from OLED was going to hurt profit in the quarter as handset makers bought less expensive equipment. The shares fell $8.15 to $8.79 on October 22, 2004. Further, on or around January 10, 2005, Leadis announced it was not comfortable with the First Call estimates of its revenues for the first quarter of 2005. As a result of this news, Leadis stock dropped further to below $8 per share.

If you bought Leadis Technology, Inc. securities between June 16, 2004 and October 22, 2004, inclusive, and would like to obtain information about the lawsuit, then you are invited to call (866) 467-1400 to speak with an attorney.