LOS ANGELES--(BUSINESS WIRE)--Lundin Law PC (the “Firm”) announces a class action lawsuit has been filed against Quorum Health Corporation (“Quorum” or the “Company”) (NYSE: QHC) concerning possible violations of federal securities laws. Investors who purchased or otherwise acquired Quorum securities: (1) pursuant and/or traceable to Quorum’s Registration Statement issued in connection with the Company’s spinoff from Community Health Systems, Inc. (“CHS”) effective on or about April 29, 2016; and/or (2) on the open market between May 2, 2016 and August 10, 2016 inclusive (the “Class Period”), are encouraged to contact the Firm prior to the November 8, 2016 lead plaintiff motion deadline.
No class has been certified in the above action. Until a class is certified, you are not considered represented by an attorney. You may also choose to do nothing and be an absent class member.
According to the complaint, the Company made false and/or misleading statements and/or failed to disclose: that many of Quorum’s hospitals were underperforming at the time of the spin-off from CHS; that various other indicators of impairment existed at the time of Quorum’s spin-off from CHS; that the Company ignored and/or failed to inform investors of the foregoing issues; and that as a result of the above, Quorum’s public statements were materially false and misleading at all relevant times.
On August 10, 2016, the Company issued a press release and filed a Quarterly Report on Form 10-Q with the U.S. Securities and Exchange Commission reporting substantial net loss and an operating loss for the quarter ending June 30, 2016. Quorum blamed the loss on impairment charges it had taken, goodwill loss from divesting certain hospitals, and carryover allocation of goodwill at the time of the spin-off from CHS. When this news was announced to the public, shares of Quorum dropped in value, causing investors harm.
Lundin Law PC was founded by Brian Lundin, a securities litigator based in Los Angeles dedicated to upholding shareholders’ rights.
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