SAN DIEGO & ALBUQUERQUE, N.M.--(BUSINESS WIRE)--Shareholder rights law firm Robbins LLP announces that a class action has been filed on behalf of all purchasers of Array Technologies, Inc. (NASDAQ: ARRY) pursuant to the Company's October 2020 initial public offering ("IPO"), December 2020 offering, or March 2021 offering, for remedies under the Securities Act of 1933. The complaint also seeks remedies for shareholders who purchased or acquired Array securities between October 11, 2020 and May 11, 2021, under the Securities Exchange Act of 1934. Array describes itself as one of the world's largest manufacturers of ground-mounting systems used in solar energy projects.
If you suffered a loss due to Array Technologies, Inc.'s misconduct, click here.
Array Technologies, Inc. (ARRY) Made Material Misstatements in its Offering Materials and Failed to Disclose its True Operating Costs
According to the complaint, Array completed its IPO in December 2020. The IPO Materials touted the Company's "[d]emonstrated ability to reduce the costs of our products while increasing profit margins" and emphasized its ability to leverage its "global supply chain and economies of scale to reduce production costs." The Company reiterated these same statements in its December and March secondary offering material. The material presented to shareholders in each of these offerings failed to disclose the then-existing rise of costs related to certain supplies such as steel, as well as the Company's freight costs.
On May 11, 2021, Array shocked the market by reporting lower revenues year-over-year and lower margins due to increased steel and shipping costs. On this news, analysts cut their ratings on the Company's stock citing concern about its shrinking profit margins. On this news, Array stock dropped $11.49 a share on May 12, 2021, to close at $13.46 per share. The stock currently trade significantly below its value at the time of the offerings.
If you purchased shares of Array Technologies, Inc. (ARRY) pursuant to the Company's IPO, secondary offerings, or between October 11, 2020 and May 11, 2021, you have until July 13, 2021, to ask the court to appoint you lead plaintiff for the class.
All representation is on a contingency fee basis. Shareholders pay no fees or expenses.
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