LOS ANGELES--(BUSINESS WIRE)--Tostrud Law Group, P.C. reminds investors that a class action has been filed on behalf of investors of LSB Industries, Inc. (“LSB Industries” or the “Company”) (NYSE: LXU) that purchased shares between May 8, 2015 and August 7, 2015, inclusive (the “Class Period”). Investors that have suffered a loss on their LSB Industries securities holdings are encouraged to contact Jon Tostrud, Esq. to discuss their legal rights prior to the November 24, 2015 lead plaintiff deadline.
On August 7, 2015, the Company revealed that it intended to implement certain recommendations after the Strategic Committee of the LSB Industries Board of Directors reviewed the Company’s business strategy, corporate governance structure, related party transactions and other governance practices of the Company. Additionally the Company announced that the total cost to complete the El Dorado Facility expansion would now be in the range of $660 million to $680, significantly higher that its previous estimates of $495 million to $520 million on May 8, 2015. On this news, shares of LSB declined $12.09 per share, over 34%, to close on August 7, 2015, at $23.01 per share, on heavy volume. Then on September 3, 2015, the Company announced that LSB President and Chief Executive Officer Barry H. Golsen had resigned effective immediately.
The Complaint alleges that throughout the Class Period, Defendants made false and/or misleading statements and/or failed to disclose that: (1) that the Company’s costs related to the expansion of the El Dorado Facility would be significantly higher than reported; and, (2) that, as a result of the foregoing, the Company’s statements about its business, operations, and prospects, were false and misleading and/or lacked a reasonable basis.
Recent Developments: On November 6, 2015, the Company reported third quarter 2015 earnings, announcing an EBITDA loss of $1.6 million, on net sales of $157 million. The Company further reported an increase in the cost of completion of its El Dorado Facility to $831 to $855 million. On this news shares of LSB Industries fell sharply in value.
If you purchased shares of LSB Industries, if you have information or would like to learn more about these claims, or if you wish to discuss these matters or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Jon Tostrud, Esquire, of Tostrud Law Group, P.C., 1925 Century Park East, Suite 2125, Los Angeles, California 90067, at (310) 278-2600 or by e-mail at firstname.lastname@example.org.
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