NEW YORK--(BUSINESS WIRE)--Rosen Law Firm, a global investor rights law firm, announces it is investigating potential securities claims on behalf of shareholders of Premier, Inc. (NASDAQ: PINC) resulting from allegations that Premier may have issued materially misleading business information to the investing public.
On September 25, 2019, Spruce Point Capital Management, LLC (“Spruce Point”) issued a report about Premier stating that “due to a unique pre-IPO restructuring agreement, [Premier] is temporarily generating twice the earnings which its business model can sustain organically.” Noting that the contracts between Premier and its “member owner” hospitals were nearing expiration, Spruce Point asserted that “with most member owner equity now having vested, hospitals with expiring contracts are far less incented to remain with Premier at sub-market shareback rates” making them more likely to opt out rather than renew their contracts, which “would cause Premier to underperform FY22-23 consensus revenue by >26% and EBITDA by >50%.”
On this news, Premier’s stock price fell sharply to close at $30.75 per share on September 25, 2019.
Rosen Law Firm is preparing a class action lawsuit to recover losses suffered by Premier investors. If you purchased shares of Premier please visit the firm’s website at http://www.rosenlegal.com/cases-register-1693.html to join the class action. You may also contact Phillip Kim of Rosen Law Firm toll free at 866-767-3653 or via email at firstname.lastname@example.org or email@example.com.
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Rosen Law Firm represents investors throughout the globe, concentrating its practice in securities class actions and shareholder derivative litigation. Rosen Law Firm was Ranked No. 1 by ISS Securities Class Action Services for number of securities class action settlements in 2017. The firm has been ranked in the top 3 each year since 2013. Rosen Law Firm has secured hundreds of millions of dollars for investors.
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