SAN DIEGO & PHILADELPHIA--(BUSINESS WIRE)--Shareholder rights law firm Robbins Arroyo LLP announces that purchasers of Livent Corporation (NYSE: LTHM) filed a class action complaint against the company for alleged violations of the Securities and Exchange Act of 1933 pursuant to the company's October 12, 2018 initial public offering ("IPO"). Livent produces and distributes lithium chemicals.
View this information on the law firm's Shareholder Rights Blog:
https://www.robbinsarroyo.com/livent-corporation/
Livent Accused of Inflating its IPO Price
According to the complaint, Livent held its IPO in October 2018, and received approximately $369 million in proceeds. However, prior to the IPO, Livent failed to disclose in its registration statement that a key supply contract had been terminated. Rather, Livent made false assurances that it had reached an agreement on the final wording of a new supply agreement with the vendor. As a result of the contract termination, Livent was forced to fulfill customer contracts using alternative vendors at reduced revenues and lower margins. Since the truth was revealed, Livent's stock price has declined sharply. As of May 30, 2019, Livent's stock was trading as low as $6.36 per share, an over 60% decline from the $17 per share IPO price.
Livent Shareholders Have Legal Options
Concerned shareholders who would like more information about their rights and potential remedies can contact attorney Leo Kandinov at (800) 350-6003, LKandinov@robbinsarroyo.com, or via the shareholder information form on the firm's website.
Robbins Arroyo LLP is a nationally recognized leader in shareholder rights law. The firm represents individual and institutional investors in shareholder derivative and securities class action lawsuits, and has helped its clients realize more than $1 billion of value for themselves and the companies in which they have invested.
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