Philadelphia, Pennsylvania--(Newsfile Corp. - November 14, 2023) - Berger Montague advises investors that a securities fraud class action lawsuit has been filed against PureCycle Technologies, Inc. ("PureCycle") (NASDAQ: PCT) on behalf of purchasers of PureCycle's securities between August 8, 2023 and September 13, 2023, inclusive (the "Class Period").
Investor Deadline: Investors who purchased or acquired PureCycle securities during the Class Period may, no later than November 28, 2023, seek to be appointed as a lead plaintiff representative of the class. For additional information or to learn how to participate in this litigation, please contact Berger Montague: James Maro at [email protected] or (267) 637-3176, or Andrew Abramowitz at [email protected] or (215) 875-3015 or CLICK HERE.
PureCycle claims it is commercializing a patented purification recycling technology, originally developed by The Procter & Gamble Company, for restoring waste polypropylene into resin with near-virgin characteristics, called ultra-pure recycled resin. In early 2023, PureCycle claimed that it was finalizing construction and commissioning at its first commercial scale recycling facility (the "Ironton Facility"), "which is expected to have capacity of approximately 107 million pounds/year when fully operational."
On September 13, 2023, after the market closed, PureCycle filed a Form 8-K with the SEC disclosing that its Ironton Facility experienced a full plant power outage on August 7, 2023, which required the Ironton Facility to halt operations. PureCycle further disclosed that it replaced a seal that purportedly failed as a result of the power outage, and initiated facility restart procedures on September 11, 2023.
Following this news, PureCycle's stock price fell $1.395, or 18.4%, to close at $6.18 per share on September 14, 2023.
According to the complaint and throughout the Class Period, the defendants failed to disclose to investors that: (1) the Ironton Facility experienced a full plant power outage on August 7, 2023; (2) there was a risk of additional failures resulting from the August 7, 2023 power outage; and (3) as a result of the foregoing, the defendants' positive statements about PureCycle's business, operations, and prospects were materially misleading and/or lacked a reasonable basis.
A lead plaintiff is a representative party who acts on behalf of all class members in directing the litigation. The lead plaintiff is usually the investor or small group of investors who have the largest financial interest and who are also adequate and typical of the proposed class of investors. The lead plaintiff selects counsel to represent the lead plaintiff and the class and these attorneys, if approved by the court, are lead or class counsel. Your ability to share in any recovery is not, however, affected by the decision whether or not to serve as a lead plaintiff. Communicating with any counsel is not necessary to participate or share in any recovery achieved in this case. Any member of the purported class may move the Court to serve as a lead plaintiff through counsel of his/her choice, or may choose to do nothing and remain an inactive class member.
Berger Montague, with offices in Philadelphia, Minneapolis, Delaware, Washington, D.C., San Diego, San Francisco and Chicago, has been a pioneer in securities class action litigation since its founding in 1970. Berger Montague has represented individual and institutional investors for over five decades and serves as lead counsel in courts throughout the United States.
Contacts:
James Maro, Senior Counsel
Berger Montague
(267) 637-3176
[email protected]
Andrew Abramowitz, Senior Counsel
Berger Montague
(215) 875-3015
[email protected]
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/187250