SAN DIEGO--(BUSINESS WIRE)--Robbins Geller Rudman & Dowd LLP (“Robbins Geller”) (http://www.rgrdlaw.com/cases/acadiahealthcare/) today announced that a class action has been commenced by an institutional investor on behalf of all purchasers of Acadia Healthcare Company, Inc. (“Acadia” or the “Company”) (NASDAQ:ACHC) publicly traded securities during the period between February 23, 2017 and October 24, 2017 (the “Class Period”), including in connection with an August 22, 2017 public offering (the “Offering”). This action was filed in the Middle District of Tennessee and is captioned Jackson County Employees’ Retirement System v. Acadia Healthcare Company, Inc., et al., No. 18-cv-00286.
If you wish to serve as lead plaintiff, you must move the Court no later than 60 days from today. If you wish to discuss this action or have any questions concerning this notice or your rights or interests, please contact plaintiff’s counsel, Darren Robbins of Robbins Geller at 800/449-4900 or 619/231-1058, or via e-mail at firstname.lastname@example.org. If you are a member of this class, you can view a copy of the complaint as filed at http://www.rgrdlaw.com/cases/acadiahealthcare/. Any member of the putative class may move the Court to serve as lead plaintiff through counsel of their choice, or may choose to do nothing and remain an absent class member.
The complaint charges Acadia, certain of its officers and directors and an underwriter of the Offering with violations of the Securities Exchange Act of 1934 and/or the Securities Act of 1933. Acadia is a healthcare company that operates inpatient psychiatric facilities, residential treatment centers, group homes, substance abuse facilities, and facilities providing outpatient behavioral healthcare services to serve the behavioral health and recovery needs of communities throughout the United States, the United Kingdom (“U.K.”) and Puerto Rico.
The complaint alleges that throughout and before the Class Period, defendants made numerous materially false and misleading statements and omissions to investors regarding Acadia’s business and operations, including by falsely stating that the quality of its U.K. operations gave the Company a “competitive strength,” which would drive future growth and profitability, and by issuing false and misleading guidance regarding the Company’s actual and projected 2017 revenue, earnings before interest, taxes, depreciation and amortization (“EBITDA”) and earnings per share (“EPS”).
On October 24, 2017, Acadia announced its financial results for the third quarter of 2017. The Company revealed a drastic shortfall in EBITDA for its U.K. facilities, purportedly resulting from “lower census and higher operating costs,” and lowered its financial guidance for 2017, including lowering its EPS guidance as much as $0.24 per share. Following these revelations, Acadia’s stock price fell 26%, from a closing price of $44.12 per share on October 24, 2017 to a closing price of $32.68 per share on October 25, 2017.
Plaintiff seeks to recover damages on behalf of all purchasers of Acadia publicly traded securities during the Class Period, including in connection with the Offering (the “Class”). The plaintiff is represented by Robbins Geller, which has extensive experience in prosecuting investor class actions including actions involving financial fraud.
Robbins Geller is widely recognized as a leading law firm advising and representing U.S. and international investors in securities litigation and portfolio monitoring. With 200 lawyers in 10 offices, Robbins Geller has obtained many of the largest securities class action recoveries in history. For the third consecutive year, the Firm ranked first in both the total amount recovered for investors and the number of shareholder class action recoveries in ISS's SCAS Top 50 Report. Robbins Geller attorneys have shaped the law in the areas of securities litigation and shareholder rights and have recovered tens of billions of dollars on behalf of the Firm’s clients. Robbins Geller not only secures recoveries for defrauded investors, it also implements significant corporate governance reforms, helping to improve the financial markets for investors worldwide. Please visit http://www.rgrdlaw.com for more information.