NEWTOWN SQUARE, Pa., March 28, 2019 (GLOBE NEWSWIRE) -- Kaskela Law LLC announces that a class action lawsuit has been filed against American Renal Associates Holdings, Inc. (NYSE: ARA) (“American Renal” or the “Company”) on behalf of investors who purchased shares of the Company’s common stock between August 10, 2016 and March 27, 2019, inclusive (the “Class Period”).
To learn how to participate in this action please visit http://kaskelalaw.com/case/american-renal/.
On March 8, 2019, American Renal disclosed that it was delaying the filing of its fiscal 2019 Annual Report, and that the Company’s Audit Committee was “examining reserve computations and other accounting practices that could have an impact on accounts receivable and revenue for the fiscal year ended December 31, 2018, as well as the previously reported fiscal years….” Following this news, shares of the Company’s stock declined $2.05 per share, or over 16% in value, to close on March 8, 2019 at $10.46 per share, on heavy trading volume.
Subsequently, on March 27, 2019, American Renal disclosed that the Company’s previously issued financial statements for fiscal years 2014 – 2017 “should be restated and should no longer be relied upon,” and that the Company’s Chief Financial Officer had “resigned” effective March 26, 2019. Following this additional news, shares of the Company’s stock declined a an additional $3.69 per share, or 38% in value, to close on March 28, 2019 at $6.01 per share, again on heavy trading volume.
Among other things, the shareholder class action complaint alleges that defendants made materially false and misleading statements to investors during the Class Period, and failed to disclose to investors that: (i) the Company’s financial statements were false and could not be relied upon; and (ii) American Renal had material weaknesses in its internal controls over financial reporting. The complaint further alleges that, as a result of the foregoing, investors purchased American Renal’s common stock at artificially inflated prices during the Class Period and suffered investment losses as a result of the defendants’ conduct.
IMPORTANT DEADLINE: Investors who purchased American Renal’s common stock during the Class Period may, no later than May 28, 2019, seek to be appointed as a lead plaintiff representative of class.
American Renal investors are encouraged to contact Kaskela Law LLC (D. Seamus Kaskela, Esq.) at (888) 715 – 1740, or visit http://kaskelalaw.com/case/american-renal/, to receive additional information about this action and/or discuss their legal rights and options.
Kaskela Law LLC exclusively represents investors in securities fraud, corporate governance, and merger & acquisition litigation. For additional information about Kaskela Law LLC please visit www.kaskelalaw.com.
CONTACT:
D. Seamus Kaskela, Esq.
KASKELA LAW LLC
18 Campus Boulevard, Suite 100
Newtown Square, PA 19073
(484) 258 – 1585
(888) 715 – 1740
www.kaskelalaw.com
skaskela@kaskelalaw.com