NEW YORK--(BUSINESS WIRE)--Robbins Geller Rudman & Dowd LLP (http://www.rgrdlaw.com/cases/anheuser-busch/) today announced that a class action has been commenced by an institutional investor on behalf of purchasers of Anheuser-Busch InBev SA/NV (NYSE: BUD) American Depositary Shares (“ADSs”) during the period between March 1, 2018 and October 24, 2018 (the “Class Period”). This action was filed in the Southern District of New York and is captioned City of Sterling Heights General Employees’ Retirement System v. Anheuser-Busch InBev SA/NV, et al., No. 19-cv-5854.
The Private Securities Litigation Reform Act of 1995 permits any investor who purchased Anheuser-Busch ADSs during the Class Period to seek appointment as lead plaintiff. A lead plaintiff acts on behalf of all other class members in directing the litigation. The lead plaintiff can select a law firm of its choice. An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff. 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, Samuel H. Rudman or David A. Rosenfeld of Robbins Geller at 800/449-4900 or 619/231-1058, or via e-mail at email@example.com. You can view a copy of the complaint as filed at http://www.rgrdlaw.com/cases/anheuser-busch/.
The complaint charges Anheuser-Busch and certain of its officers with violations of the Securities Exchange Act of 1934. Anheuser-Busch is engaged in the production, distribution, and sale of beer, alcoholic beverages, and soft drinks worldwide.
The complaint alleges that during the Class Period, defendants made materially false and misleading statements and/or failed to disclose adverse information regarding Anheuser-Busch’s business, operations and prospects. Specifically, defendants failed to disclose, among other things, that cost-cutting measures the Company had put in place had run their course; the devaluation of key emerging market currencies and input cost inflation was having a material adverse effect on the Company’s margins, EBITDA and profitability; Anheuser-Busch had been experiencing less than expected growth and profits in certain key markets; Anheuser-Busch was not going to be able to maintain its then current dividend and still meet its deleveraging targets; and Anheuser-Busch was at risk of having its credit ratings downgraded. As a result of this information being withheld from the market, the price of Anheuser-Busch ADSs was artificially inflated to as high as $117 per ADS during the Class Period.
Then on October 25, 2018, the Company reported its financial results for the quarter and nine-month periods ended September 30, 2018, announcing that it had cut its dividend by 50% to “accelerate deleveraging toward our optimal capital structure of around 2x net debt to EBITDA ratio.” On this news, the price of Anheuser-Busch ADSs declined approximately 9.5%, from $82.25 per ADS to $74.54 per ADS.
Plaintiff seeks to recover damages on behalf of all purchasers of Anheuser-Busch ADSs during the Class Period (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 a national law firm representing investors in securities litigation. With 200 lawyers in 10 offices, Robbins Geller has obtained many of the largest securities class action recoveries in history. For five consecutive years, ISS Securities Class Action Services has ranked the Firm in its annual SCAS Top 50 Report as one of the top law firms in both the amount recovered for shareholders and the total number of class action settlements. Robbins Geller attorneys have helped shape the securities laws and recovered tens of billions of dollars on behalf of aggrieved victims. Beyond securing financial recoveries for defrauded investors, Robbins Geller also advocates for corporate governance reforms, helping to improve the financial markets for investors worldwide. Please visit http://www.rgrdlaw.com for more information.