Bragar Eagel & Squire, P.C. Reminds Investors That Class Action Lawsuits Have Been Filed Against Twitter, and Rite Aid, Compass, and Polished and Encourages Investors to Contact the Firm
NEW YORK, Dec. 02, 2022 (GLOBE NEWSWIRE) -- Bragar Eagel & Squire, P.C., a nationally recognized shareholder rights law firm, reminds investors that class actions have been commenced on behalf of stockholders of Twitter, Inc. (NYSE: TWTR), Rite Aid Corporation (NYSE: RAD), Compass Minerals International, Inc. (NYSE: CMP), and Polished.com, Inc. (NYSEAmerican: POL). Stockholders have until the deadlines below to petition the court to serve as lead plaintiff. Additional information about each case can be found at the link provided.
Twitter, Inc. (NYSE: TWTR)
Class Period: May 13, 2022 – October 4, 2022
Lead Plaintiff Deadline: December 12, 2022
On May 13, 2022, Elon Musk tweeted that a merger with Twitter was “temporarily on hold.” Three separate notices terminating the merger between July 8, 2022 and September 9, 2022 falsely claimed that Twitter had breached the terms of the merger agreement by not giving Musk documents about Spam.
On October 4, 2022, less than two weeks before he was set to go to trial in Delaware over the merger, Musk stated he would proceed with the Twitter buyout at the original $54.20 price, abandoning his prior positions and capitulating to Twitter. The announcement shocked the stock market and caused Twitter’s stock price to increase by 22%. Twitter stock and bondholders who sold their Twitter securities earlier in the year based on Musk’s false statements were damaged by selling at prices artificially depressed by Musk’s false statements.
The lawsuit charges that Musk violated Section 10(b) of the Securities Exchange Act of 1934 by issuing false statements about his purchase of Twitter, Inc., including termination notices that falsely claimed that Twitter had breached terms of the merger agreement and that a Material Adverse Event (“MAE”) had occurred. The complaint alleges that Musk’s statements were false because Musk was not entitled to due diligence and had in fact waived due diligence; Musk was well aware of the problem of bots and spam on Twitter, and there were no legally justifiable reasons for Musk to terminate the Merger.
For more information on the Twitter class action go to: https://bespc.com/cases/TWTR
Rite Aid Corporation (NYSE: RAD)
Class Period: April 14, 2022 – September 28, 2022
Lead Plaintiff Deadline: December 19, 2022
On September 29, 2022, Rite Aid announced a $252.2 million charge for the impairment of goodwill related to the Company’s Elixir subsidiary. On an earnings call held later in the day, Rite Aid’s Chief Financial Officer, Matt Schroeder, explained that the large impairment charge was triggered by a change in Rite Aid’s estimate of lives covered by Elixir for 2023 based on the latest selling season.
On this news, Rite Aid’s stock price fell $1.97 per share, or 28.02%, to close at $5.06 per share on September 29, 2022.
For more information on the Rite Aid class action go to: https://bespc.com/cases/RAD
Compass Minerals International, Inc. (NYSE: CMP)
Class Period: October 31, 2017 - November 18, 2018
Lead Plaintiff Deadline: December 20, 2022
Compass Minerals mines and produces essential minerals, including salt for winter roadway safety and other consumer, industrial, and agricultural uses, and specialty plant nutrition minerals that improve the quality and yield of crops. During the Class Period, Compass Minerals operated three business segments: the Salt segment, the Plant Nutrition North America segment, and the Plant Nutrition South America segment. Within the Salt segment, Compass Minerals operated the largest underground rock salt mine in the world in Goderich, Ontario, Canada, which Compass Minerals routinely hailed as the “crown jewel” of its asset portfolio. Prior to the start of the Class Period, defendants announced that Compass Minerals was investing in upgrades to the mining system at Goderich, from drilling-and-blasting to continuous mining and continuous haulage (“CMCH”), primarily in an effort to reduce costs and improve profitability.
The Compass Minerals class action lawsuit alleges that defendants throughout the Class Period repeatedly assured investors that the CMCH upgrade at the Goderich mine was on track to materially reduce costs and boost Compass Minerals’ operating results starting in 2018. However, defendants’ statements were misleading because they failed to tell investors that costs at the Goderich mine were increasing rather than decreasing. The Compass Materials class action lawsuit further alleges that defendants also misrepresented the amount of salt Compass Minerals was able to produce at Goderich using the new CMCH equipment and failed to disclose how the known and ongoing production shortfalls it was experiencing were reasonably expected to reduce its future operating income.
On February 13, 2018, Compass Minerals announced its financial results for the fourth quarter of fiscal 2017. On the following day, Compass Minerals held an earnings call for analysts and investors to discuss the fourth quarter results.
On this news, Compass Minerals’ stock price declined by more than 9% over the following two trading days.
Then, on August 7, 2018, Compass Minerals announced its second quarter of fiscal 2018 results, attributing the decrease in Salt operating earnings to various costs overruns, unrelated to the CMCH transition.
On this news, the price of Compass Minerals stock declined by 4.3%.
Next, October 23, 2018, Compass Minerals pre-announced third quarter 2018 financial results that were significantly below expectations and lowered its outlook for the remainder of the year.
On this news, the price of Compass Minerals stock declined by more than 30% over the following two trading days.
Finally, on November 19, 2018, Compass Energy announced the abrupt termination of its CEO, defendant Francis J. Malecha.
On this news, the price of Compass Minerals stock declined by an additional 8% over the following three days, further damaging investors.
For more information on the Compass class action go to: https://bespc.com/cases/CMP
Polished.com, Inc. (NYSEAmerican: POL)
Class Period: July 27, 2020 - August 25, 2022
Lead Plaintiff Deadline: December 30, 2022
According to the lawsuit, the registration statement supporting the IPO was false and/or misleading and/or failed to disclose that: (1) the Company would restate certain financials; (2) the Company’s internal controls were inadequate; (3) the Company downplayed and obfuscated its internal controls issues; (4) as a result, the Company would engage in an independent investigation; (5) as a result of the investigation, the Company would, among other things, retain independent counsel and consultants, and delay its quarterly filings in violation of NYSE requirements of listing; (6) following the commencement of the investigation, the Company’s CEO and CFO would leave the Company; and (7) as a result, defendants’ public statements were materially false and/or misleading at all relevant times. Also according to the lawsuit, defendants throughout the Class Period made false and/or misleading statements and/or failed to disclose that: (1) the Company’s internal controls were inadequate; (2) the Company downplayed and obfuscated its internal controls issues; (3) the Company did not properly construct or remediate its inadequate and ineffective internal controls; (4) contrary to the Company’s statements, the Company was not remediating its internal controls; (5) as a result, the Company would engage in an independent investigation; (6) as a result of the investigation, the Company would, among other things, retain independent counsel and consultants, and delay its quarterly filings in violation of NYSE requirements of listing; (7) following the commencement of the investigation, the Company’s CEO and CFO would leave the Company; and (8) as a result, defendants’ public statements were materially false and/or misleading at all relevant times. When the true details entered the market, the lawsuit claims that investors suffered damages.
For more information on the Polished class action go to: https://bespc.com/cases/POL
About Bragar Eagel & Squire, P.C.:
Bragar Eagel & Squire, P.C. 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, derivative, and other complex litigation in state and federal courts across the country. For more information about the firm, please visit www.bespc.com. Attorney advertising. Prior results do not guarantee similar outcomes.
Bragar Eagel & Squire, P.C.
Brandon Walker, Esq.
Melissa Fortunato, Esq.