NEW YORK, May 04, 2016 (GLOBE NEWSWIRE) -- Faruqi & Faruqi, LLP, a leading national securities law firm, reminds investors in Vivint Solar, Inc. (“Vivint” or the “Company”) (NYSE:VSLR) of the July 5, 2016 deadline to seek the role of lead plaintiff in a federal securities class action lawsuit filed against certain officers of SunEdison Inc. (“SunEdison”).
The lawsuit has been filed in the U.S. District Court for the Eastern District of Missouri on behalf of all those who purchased Vivint stock or options between July 20, 2015 and March 7, 2016 (the “Class Period”). The case, Church v. Chatila et al, No. 4:16-cv-00628, was filed on May 3, 2016.
The lawsuit focuses on whether SunEdison’s executives violated federal securities laws by failing to disclose that SunEdison would not be able to complete the acquisition of Vivint due to the lack of financing and liquidity.
Specifically, during post-market hours on February 29, 2016, SunEdison filed a Notification of Late Filing on Form 12b-25 with the SEC, disclosing that the Company would be unable to timely file its Annual Report on Form 10-K for the fiscal year ended December 31, 2015. The Notification of Late Filing revealed that the board’s Audit Committee had recently initiated an investigation concerning the accuracy of the SunEdison’s previously anticipated financial position.
After this information became public, Vivint’s share price fell from a closing price of $7.89 per share on February 29, 2016 to a closing price of $6.52 on March 1, 2016 —a $1.37 or a 17.4% drop.
Then, on March 2, 2016, The Wall Street Journal published an article entitled, “SunEdison’s Takeover of Vivint Solar in Jeopardy as Banks Balk” stating that the merger was in jeopardy upon the recent revelations from SunEdison.
After the publication of the article, Vivint’s share price fell from a closing price of $6.52 per share on March 1, 2016 to a closing price of $4.89 on March 2, 2016 —a $1.63 or a 25% drop.
On March 8, 2016, Vivint filed a lawsuit against SunEdison in Delaware Chancery Court alleging breach of contract after terminating its merger agreement with SunEdison citing SunEdison’s failure to meet its financial and contractual obligations.
After this announcement, Vivint’s share price fell from a closing price of $5.21 per share on March 7, 2016 to a closing price of $4.17 on March 8, 2016 —a $1.04 or a 20% drop.
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Take Action
If you invested in Vivint stock or options between July 20, 2015 and March 7, 2016 and would like to discuss your legal rights, visit www.faruqilaw.com/VSLR. You can also contact us by calling Richard Gonnello toll free at 877-247-4292 or at 212-983-9330 or by sending an e-mail to rgonnello@faruqilaw.com. Faruqi & Faruqi, LLP also encourages anyone with information regarding Vivint’s conduct to contact the firm, including whistleblowers, former employees, shareholders and others.
The court-appointed lead plaintiff is the investor with the largest financial interest in the relief sought by the class that is adequate and typical of class members who directs and oversees the litigation on behalf of the putative class. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member. Your ability to share in any recovery is not affected by the decision of whether or not to serve as a lead plaintiff.
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