Bragar Eagel & Squire, P.C. Announces That a Class Action Lawsuit Has Been Filed Against Washington Prime Group, Inc. and Encourages Investors to Contact the Firm
Bragar Eagel & Squire, PC, a nationally recognized shareholder rights law firm, announces a class action lawsuit has been filed in the U.S. District Court for the Southern District of Ohio on behalf of investors who have bought Washington Prime Group, Inc. (NYSE) : WPG) Securities between November 5, 2020 and March 4, 2021, both dates inclusive (the “Class Period”). Investors have until July 23, 2021 to apply to the court for appointment as the lead plaintiff in the lawsuit.
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On February 16, 2021, WPG announced that its operating partnership, Washington Prime Group, LP (“WPG LP”), “had agreed to receive an interest payment of $ 23.2 million due February 15, 2021 on the outstanding senior notes of WPG LP due 2024, “and that” WPG LP has a 30-day grace period to make the interest payment before such non-payment constitutes a ‘default event’. “The company also noted that in the event of default, certain counterparties to The Senior Notes “could expedite the outstanding debt due … make such debt due and payable, which would result in a cross-default on some of the WPG LPs or the Company’s other debt. “
In that news, the company’s share price fell $ 4.59, or 38%, to close at $ 7.49 per share on February 16, 2021 in unusually high volume.
Then, on March 4, 2021, Bloomberg reported that WPG “is preparing a potential bankruptcy filing as time runs out to avert default after skipping an interest payment on its debt, according to those with knowledge of the plans.”
In that news, the company’s share price fell $ 3.77, or 60%, to close at $ 2.51 per share on March 4, 2021 in unusually high volume.
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 business, business and prospects of the company. In particular, the defendants have not notified investors: (1) that WPG’s financial position has deteriorated significantly; (2) As a result, there has been significant uncertainty about the Company’s ability to meet its capital structure obligations when due. 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 have purchased WPG securities during the class period and suffered a loss, are a long-term shareholder, have information, want to learn more about these claims, or have questions about this announcement or your rights or interests in relation to these matters, please contact Brandon Walker, Melissa Fortunato or Marion Passmore by email at firstname.lastname@example.org, by phone at (212) 355-4648, or by completing this contact form. There are no costs or obligations for you.
About Bragar Eagel & Squire, PC:
Bragar Eagel & Squire, PC is a nationally recognized law firm with offices in New York, California and South Carolina. The firm represents individual and institutional investors in commercial, securities, derivatives and other complex litigation in state and federal courts across the country. More information about the company can be found at www.bespc.com. Lawyer advertising. Previous results do not guarantee similar results.
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Bragar Eagel & Squire, PC
Brandon Walker, Esq.
Melissa Fortunato, Esq.
Marion Passmore, Esq.