Ormat Class Action: Bernstein Liebhard LLP Files Securities Class Action Lawsuit Against Ormat Technologies, Inc. - ORA
Bernstein Liebhard LLP
Jun. 13, 2018
NEW YORK, June 13, 2018 (GLOBE NEWSWIRE) -- Bernstein Liebhard LLP has filed a securities class action lawsuit on behalf of those who purchased or acquired the securities of Ormat Technologies, Inc. (“Ormat” or the “Company”) (NYSE:ORA) between August 8, 2017 and May 15, 2018, both dates inclusive (the “Class Period”). The lawsuit seeks to recover Ormat shareholders’ investment losses.
To join the Ormat class action, and/or if you have information relating to this matter, please visit our ORMAT SHAREHOLDER PAGE or contact Daniel Sadeh toll free at (877) 779-1414 or firstname.lastname@example.org.
According to the lawsuit, throughout the Class Period Defendants’ made false and/or misleading statements and/or failed to disclose that: (1) there were errors in the income tax provision primarily relating to Ormat’s valuation allowance based on its ability to utilize foreign tax credits in the U.S. prior to their expiration; (2) Ormat netted certain deferred income tax assets and deferred income tax liabilities across different tax jurisdictions that are not permitted to be netted pursuant to United States generally accepted accounting principles; (3) Ormat’s internal controls over financial reporting were ineffective during the Class Period; (4) due to the foregoing, Ormat would need to restate its second, third and fourth quarter 2017 financial statements and its full-year 2017 financial statements; and (5) as a result, Defendants’ statements about the Company’s business, operations and prospects were materially false and misleading and/or lacked a reasonable bases at all relevant times.
On May 11, 2018, Ormat disclosed that its delaying the filing of its Quarterly Report for the period ended March 31, 2018 with the SEC because “management has identified an error in the Company’s financial statement presentation of deferred income tax assets and deferred income tax liabilities that affects the Company’s balance sheets in previous reporting periods.” Ormat further disclosed that “[t]he Company is evaluating the impact of this error on its consolidated financial statements and the extent to which the Company’s annual and quarterly consolidated financial statements filed in previous periods require revision or amendment.”
On this news, Ormat’s stock fell $3.58 per share, or over 6%, over two consecutive trading days to close at $52.77 per share on May 14, 2018, damaging investors.
Then, on May 16, 2018, Ormat revealed that “it will restate its second, third and fourth quarter 2017 financial statements and its full-year 2017 financial statements,” and therefore, “investors should no longer rely upon the Company’s previously issued financial statements for the periods set forth above, earnings releases for these periods, and other communications relating to these financial statements.”
On this news, Ormat’s stock fell $0.67 per share from its previous closing price to close at $52.35 per share on May 16, 2018, damaging investors.
The class action is pending in the United States District Court for the District of Nevada, under docket number 3:18-cv-00271. If you wish to serve as lead plaintiff, you must move the Court no later than August 10, 2018. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation. Your ability to share in any recovery doesn’t require that you serve as lead plaintiff. If you choose to take no action, you may remain an absent class member.
Since 1993, Bernstein Liebhard LLP has recovered over $3.5 billion for its clients. In addition to representing individual investors, the Firm has been retained by some of the largest public and private pension funds in the country to monitor their assets and pursue litigation on their behalf. As a result of its success litigating hundreds of lawsuits and class actions, the Firm has been named to The National Law Journal’s “Plaintiffs’ Hot List” thirteen times and listed in The Legal 500 for ten consecutive years.
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