BENSALEM, Pa.--(BUSINESS WIRE)--Law Offices of Howard G. Smith announces that a class action lawsuit has been filed on behalf of investors who purchased Fred’s, Inc. (“Fred’s” or the “Company”) (NASDAQ: FRED) securities between December 20, 2016 and June 28, 2017, inclusive (the “Class Period”). Fred’s investors have until August 27, 2019 to file a lead plaintiff motion.
Investors suffering losses on their Fred’s investments are encouraged to contact the Law Offices of Howard G. Smith to discuss their legal rights in this class action at 888-638-4847 or by email to firstname.lastname@example.org.
In December 2016, Fred’s agreed to purchase 865 stores from Rite Aid Corp. for $950 million to help obtain approval by the Federal Trade Commission (“FTC”) of Rite Aid’s merger with Walgreens Boots Alliance, Inc. (“Walgreens”).
Then, on June 29, 2017, Rite Aid and Walgreens terminated their merger agreement along with Fred’s asset purchase agreement.
On this news, the Company’s share price fell $2.78, or more than 22%, to close at $9.41 on June 29, 2017, thereby injuring investors.
The complaint filed in this class action alleges that throughout the Class Period, Defendants made materially false and/or misleading statements, as well as failed to disclose material adverse facts about the Company’s business, operations, and prospects. Specifically, Defendants made statements: (1) downplaying or disputing contrary reports from journalists signaling regulatory turbulence in closing the merger; and (2) representing that inside knowledge of the FTC gave confidence that the deal would close.
If you purchased shares of Fred’s, have information, would like to learn more about these claims, or have any questions concerning this announcement or your rights or interests with respect to these matters, please contact Howard G. Smith, Esquire, of Law Offices of Howard G. Smith, 3070 Bristol Pike, Suite 112, Bensalem, Pennsylvania 19020 by telephone at (215) 638-4847, toll-free at (888) 638-4847, or by email to email@example.com, or visit our website at www.howardsmithlaw.com.
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