The Law Offices of Frank R. Cruz Reminds Investors of Looming Deadline in the Class Action Lawsuit Against Plug Power Inc. (PLUG)
Shareholders with a loss of $ 100,000 or more are encouraged to contact the company
Frank R. Cruz’s law firm is reminding investors of the upcoming May 7, 2021 deadline to file a lead plaintiff motion in the case filed on behalf of investors, Plug Power Inc. (“Plug” or the ” Company “) (NASDAQ) purchased PLUG) securities between November 9, 2020 and March 1, 2021 inclusive (the” Class Period “).
If you are a shareholder who has suffered a loss, click here to participate.
On March 2, 2021, before the market opened, Plug filed a late filing notice with the SEC advising that the annual report for the period ended December 31, 2020 could not be filed on time because the Company conducted a “review and evaluation of” the treatment of certain costs in terms of the classification between research and development versus the cost of goods sold, the recoverability of usage rights related to certain leases, and certain internal controls in these and other areas. “The company stated that”[i]It is possible that one or more of these items lead to charges or adjustments to the current and / or the previous year’s financial statements. “
In that news, the company’s share price fell $ 3.68, or 7%, to close at $ 48.78 per share on March 2, 2021 in an unusually high trading volume. The stock price fell further $ 9.48, or 19.4%, for three consecutive trading sessions, closing at $ 39.30 per share on March 5, 2021 with an unusually high trading volume.
On March 16, 2021, after the market closed, Plug published a press release stating that the annual financial statements for fiscal years 2018 and 2019 and for the quarterly periods of fiscal years 2019 and 2020 should no longer be considered reliable. The company stated that its financial statements for these periods would be adjusted to increase the provision for certain service contracts. reduce the carrying amount of certain usage rights; reclassify certain costs; and recognize impairment losses on certain long-lived assets. As a result, Plug stated that it would report a material weakness in its internal control over financial reporting in its 2020 fiscal year report.
The story goes on
In this news, the company’s stock price fell as much as 12% during trading after the close on March 16, 2021, further hurting investors.
The complaint filed in this class action alleges that, throughout the collection period, the defendants made materially false and / or misleading statements and did not disclose material adverse facts about the company’s business, business and prospects. Specifically, Defendants have failed to notify investors: (1) that the Company is unable to submit its 2020 Annual Report in a timely manner due to delays related to the review of the classification of certain costs and the recoverability of the right to use assets with certain leases; (2) that the company has reported material weaknesses in its internal control over financial reporting with a sufficient degree of probability; and (3) as a result of the foregoing, Defendants’ positive statements about the Company’s business, operations and prospects were materially misleading and / or unfounded.
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If you purchased or otherwise acquired Plug securities during the class period, you may request the court to appoint you as the lead plaintiff in this alleged class action no later than May 7, 2021. To be a member of the class action, you do not need to take any action at this point. You can keep an attorney of your choice or you can take no action and remain an absent member of the class action. If you would like to learn more about this class action or have any questions about this announcement or your rights or interests in relation to the pending class action, please contact Frank R. Cruz of the Frank R. Cruz Law Firms, 1999 Avenue of the Stars, Suite 1100, Los Angeles, California 90067, 310-914-5007, email email@example.com or visit our website at www.frankcruzlaw.com. When inquiring by email, please include your postal address, telephone number and the number of shares purchased.
This press release may be viewed as a solicitor’s advertisement in some jurisdictions under applicable laws and ethical rules.
View source version on businesswire.com: https://www.businesswire.com/news/home/20210316006129/de/
The Frank R. Cruz Law Firms, Los Angeles
Frank R. Cruz, 310-914-5007