SAN DIEGO, Apr. 27, 2015 (GLOBE NEWSWIRE) -- The Shareholders Foundation, Inc. announces that a lawsuit was filed on behalf of certain purchasers of shares of CHC Group Ltd (NYSE:HELI) over alleged Violations of Securities Laws by CHC Group Ltd in connection with certain allegedly false and misleading statements concerning CHC Group Ltd’s January 2014 initial public offering.
Investors who purchased shares of CHC Group Ltd (NYSE:HELI) have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.
The plaintiff claims that CHC Group Ltd allegedly failed to tell potential investors that one of its largest customers stopped making payments to CHC Group Ltd months before it filed a prospectus for the company’s January 2014 initial public offering (“IPO”).
On July 10, 2014, CHC Group Ltd announced that “starting in April of 2013, Petrobras stopped making payments on contracts to CHC Group and other operators of 225 [helicopters] in Brazil until overwater flights with those aircraft resumed.”
The plaintiff alleges that the offering materials for the IPO contained false and/or misleading statements and omissions of material fact and therefore misled investors. More specifically, the plaintiff says that a crash of one of CHC Group Ltd’s aircraft in October 2012 led to a grounding of certain models of medium- and heavy-weight helicopters and that one of CHC Group Ltd’s biggest customers, Petroleo Brasileiro SA, or Petrobras, suspended its payments to CHC Group Ltd as a result of the grounding, but CHC Group Ltd made no mention of this in its prospectus.
The plaintiff says that, while the accident is mentioned in CHC Group Ltd’s filing under the “Recent Developments” section and the filings conclude that “it is too early to determine the extent of the impact of the accident on our results of operations or financial condition based on information currently available, CHC Group Ltd allegedly knew by the time it was filing for its offering how significant the impact would be. The plaintiff says that it was not “too early” for CHC Group Ltd to estimate the impact of the accident, as payments from Petrobras ceased in April 2013, almost seven months before the Registration Statement was filed.
Those who purchased CHC Group Ltd (NYSE:HELI) shares have certain options and should contact the Shareholders Foundation, Inc. by e-mail at mail@shareholdersfoundation.com or call +1 (858) 779-1554.
The Shareholders Foundation, Inc. is a professional portfolio legal monitoring and a settlement claim filing service, which does research related to shareholder issues and informs investors of securities class actions, settlements, judgments, and other legal related news to the stock/financial market. The Shareholders Foundation, Inc. is not a law firm. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.